US stocks plunged on Tuesday with all major indexes dropping more than 4 percent as investors were disappointed that the new Financial Stability Plan did not offer more details on buying toxic assets. Dow Jones Index shed more than 380 points.
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| Photo taken on Feb. 10, 2009 shows the electronic board showing the NYSE index at the New York Stock Exchange in New York, the United States. US stocks plunged on Tuesday with all major indexes dropping more than 4 percent as investors were disappointed that the new Financial Stability Plan did not offer more details on buying toxic assets. [Xinhua] |
US Treasury Secretary Tim Geithner announced a comprehensive Financial Stability Plan Tuesday morning unveiling a new bailout package that could top 1.5 trillion US dollars to restore the US ailing financial system. However, Geithner gave no detail on how the new joint entity would price the toxic assets and what the size of the fund would be.
Financials suffered a severe sell-off. Bank of America lost 19.3 percent, and Citigroup tumbled 15.19 percent.
The Dow Jones fell 381.99, or 4.62 percent, to 7888.88. Broader indexes also lost ground. The Standard & Poor's 500 index dropped 42.72, or 4.91 percent, to 827.17 and the Nasdaq slid 66.83, or 4.20 percent, to 1524.73.
(Xinhua News Agency February 11, 2009)
