The steep declines came in the first full session since the U.S. Congress approved a $700 billion bailout of the financial industry, as lending came to a virtual halt and investors shifted their focus to the crumbling outlook for the economy and profits.
But the market cut almost half its losses in the final hour of the session, as traders speculated the sell-off may trigger a coordinated global response to thaw credit markets. The Dow plummeted as much as 800.06 points -- a record intraday point drop for the blue-chip average -- as it slid 7.75 percent to its session low at 9,525.32. By the closing bell, though, the Dow had recovered 430.18 points to end down 3.6 percent.
The Dow Jones industrial average <.DJI> fell 369.88 points, or 3.58 percent, to 9,955.50. It was the first time the Dow closed below 10,000 since October 2004. The Standard & Poor's 500 Index <.SPX> skidded 42.34 points, or 3.85 percent, to 1,056.89, while the Nasdaq Composite Index <.IXIC> dropped 84.43 points, or 4.34 percent, to 1,862.96. For the year to date, the Dow is down about 25 percent, the S&P 500 is down 28 percent and the Nasdaq is down 29.8 percent.
NYMEX-NEW YORK, Oct 6 (Reuters) - U.S. crude oil futures settled at the lowest level in eight months on Monday as the financial turmoil spreading to Europe fueled more worries about slowing global oil demand.
On the New York Mercantile Exchange, November crude
CBOT-SOYBEANS - November
Fell 7 percent to a near one-year low in spot month. Nearbys fell the 70-cent limit but commercial buying emerged at the lows. Continued long liquidation noted as global economic crisis worsens, with stock market down, crude oil falling and the
dollar firming.
CBOT-SOYOIL - October
Following sharply lower crude oil as global financial crisis worsens. Most contracts fell the 2.5-cent limit; no limit in October, which is in delivery.
FCPO-KUALA LUMPUR (Dow Jones)--Crude palm oil futures on Malaysia's derivatives
exchange fell as much as 11.3% Monday as estimates showed a surge in inventory,
and on spillover impact from new U.S. biodiesel tax rules, weaker soyoil and
crude oil.
Traders said deferment of palm oil and soyoil shipments by China on falling
prices, ample local reserves and large domestic crop of soybeans, helped push
prices lower.
The benchmark December contract on Bursa Malaysia Derivatives ended MYR180
lower at MYR1,820 a metric ton, off an intraday low of MYR1,775, a level not seen
since November 2006.
REGIONAL EQUITIES-SINGAPORE, Oct 6 (Reuters) - Southeast Asian markets tumbled
to new lows on Monday, with Singapore hit by falling bank shares and Indonesia plunging 10 percent, on fears that efforts by policymakers to contain the credit crisis may not prevent a recession.
Singapore's benchmark index <.FTSTI> fell 5.6 percent -- its steepest drop since January - to a near 3-year low, while Thailand <.SETI> slid 6.5 percent to a fresh 5-year low. Indonesia <.JKSE> plunged 10 percent to its lowest since October 2006,
Malaysia <.KLSE> fell 2 percent, the Philippine index <.PSI> dropped 2.6 percent while Vietnamese shares <.VNI> closed 4.1 percent lower.
