US Stocks Close Lower
November 18th, 2008 | by george |With the Eurozone and Japan in recession, Citigroup announcing a cut of 50,000 jobs, all the ingredients were there for US stock markets to close lower. And they did. Concern about the World economy after the credit crunch still remains high. The Dow Jones Industrial Average dropped almost 224 points, and Citigroup shares lost almost 7% of their value after the layoffs news was released. General Motors was up 5.7% due to new cash raising efforts, including the sale of a 3% stake in Suzuki Motor Corp.
U.S. stocks started the week solidly at a loss Monday, with word of Citigroup Inc. slashing 50,000 jobs and Japan slipping into recession heightening worries about the severity of the global slowdown.
“Investors continue to worry about the near-term fundamental weakness of the global economy and the continued need for capital by banks, brokers and now insurance companies and automakers,” said Robert Pavlik, chief investment officer at Oaktree Asset Management.
Tags: citigroup, eurozone, japan, recession, shares, us stocks
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