New York, Oct 1 (IANS) US stocks tumbled Friday, ending the worst quarter since the economic recession, as investors found little reason to buy in the market amid gloomy economic outlook and European debt woes, Xinhua reported.
The past quarter was disastrous for Wall Street. The blue-chip Dow plunged about 12 percent, the worst since the first quarter of 2009, while the broader S&P 500 and the tech-heavy Nasdaq tumbled 14 percent and 12 percent respectively, the biggest declines since the last quarter of 2008, when the economy was at the height of the financial recession.
Friday’s sell-off came even after better-than-expected reports on both consumer sentiment and manufacturing sectors as investors booked profits and sold whatever they can to make their portfolio look healthy at the last day of a terrible quarter.
Manufacturing activity in the Chicago region, meanwhile, expanded at a more rapid pace, rising to 60.4 in September from 56. 5 in August.
However, concerns over a global economic slowdown still weighed. China’s manufacturing sector seemed stagnated in the past quarter, adding to the losses in the US equities.
An earlier report also showed consumer spending was restrained by lower incomes. According to the commerce department that consumer spending rose 0.2 percent in August, basically in line with market expectation, while income slipped 0.1 percent, the first decline since October 2009.
As of Friday’s close, the Dow Jones industrial average tumbled 240.60 points, or 2.16 percent, to 10,913.38. The Standard & Poor’s 500 plummeted 28.98 points, or 2.50 percent, to 1,131.42. The Nasdaq Composite Index sank 65.36 points, or 2.63 percent, to 2, 415.40.
