Wall Street has ended the week with another sharp loss, joining stock markets around the world that fell on the growing belief that a punishing economic recession is at hand.
It was a dramatic day, with the Dow Jones industrials falling more than 500 points soon after trading began, and – following the pattern of recent sessions – recovering ground only to fall sharply again. The blue chips ended the day down 312 points at 8,378, while all the major indexes fell more than 3 percent.
Grim news from big global companies including Sony and Daimler, coming after disappointing outlooks from some big U.S. corporations, has investors believing there will be a long and deep global recession. The selling also came from hedge funds that had to unwind positions to pay back debts.