US Equities
US stocks sold off at an accelerated pace late on Thursday as a drop in crude prices hit the energy sector and lawmakers postponed voting on a plan to rescue the auto industry.

The S&P 500 Index tumbled to its lowest level in 11-1/2 years. The Index extended its 2008 tumble to 49%, poised for the worst annual decline in its 80-year history.

Stocks briefly rose on speculation Congress was close to an agreement to support the US auto industry. However, stocks fell back into negative territory following news that Democratic congressional leaders blocked immediate action on the bailout, telling the auto industry to come up with a workable plan to submit to lawmakers in December. General Motors rose as much as 43% during the day, but pared gains later in the session to finish up by 6%.

An S&P index of energy companies fell almost 10%. Chesapeake Energy was among the top decliners in the sector, falling by 28%.

Alcoa, the largest US aluminium producer, sank 15% as aluminium and copper prices tumbled.

Financial shares retreated on concern the nation’s deepening recession will generate more losses and weaken demand for financial services. Bank of America and Wells Fargo declined by between 7% and 14%, while Citigroup plunged as much as 29%.

Life insurers slumped for a fifth straight day on concern that falling equity markets will cause losses on retirement products. Lincoln National Corp, Metlife, Principal Financial Group and Hartford Financial Services Group retreated by between 7% and 18%.

Gloomy economic news added to investor concerns. Data from the Labor Department showed that the number of new claims by US workers for jobless benefits hit their highest level in 16 years. A separate report from the Conference Board showed that the index of leading US economic indicators fell 0.8% in October, more than forecast, and consumer confidence plunged, signalling a deepening recession. Six of the 10 indicators in the report dragged the index down, led by plunging stock prices, which subtracted 0.89 percentage points. Money supply adjusted for inflation, which has the biggest weighting in the index, added 0.71 percentage points.

In other economic news, factory activity in the US mid-Atlantic region fell to an 18-year low in November.

Other International Markets US Equities
US stocks sold off at an accelerated pace late on Thursday as a drop in crude prices hit the energy sector and lawmakers postponed voting on a plan to rescue the auto industry.

The S&P 500 Index tumbled to its lowest level in 11-1/2 years. The Index extended its 2008 tumble to 49%, poised for the worst annual decline in its 80-year history.

Stocks briefly rose on speculation Congress was close to an agreement to support the US auto industry. However, stocks fell back into negative territory following news that Democratic congressional leaders blocked immediate action on the bailout, telling the auto industry to come up with a workable plan to submit to lawmakers in December. General Motors rose as much as 43% during the day, but pared gains later in the session to finish up by 6%.

An S&P index of energy companies fell almost 10%. Chesapeake Energy was among the top decliners in the sector, falling by 28%.

Alcoa, the largest US aluminium producer, sank 15% as aluminium and copper prices tumbled.

Financial shares retreated on concern the nation’s deepening recession will generate more losses and weaken demand for financial services. Bank of America and Wells Fargo declined by between 7% and 14%, while Citigroup plunged as much as 29%.

Life insurers slumped for a fifth straight day on concern that falling equity markets will cause losses on retirement products. Lincoln National Corp, Metlife, Principal Financial Group and Hartford Financial Services Group retreated by between 7% and 18%.

Gloomy economic news added to investor concerns. Data from the Labor Department showed that the number of new claims by US workers for jobless benefits hit their highest level in 16 years. A separate report from the Conference Board showed that the index of leading US economic indicators fell 0.8% in October, more than forecast, and consumer confidence plunged, signalling a deepening recession. Six of the 10 indicators in the report dragged the index down, led by plunging stock prices, which subtracted 0.89 percentage points. Money supply adjusted for inflation, which has the biggest weighting in the index, added 0.71 percentage points.

In other economic news, factory activity in the US mid-Atlantic region fell to an 18-year low in November.

Other International Markets
European stocks slumped, with oil and bank stocks leading the decline.

National benchmark indexes retreated in all of the 18 western European markets. The UK's FTSE 100 lost 3.3%. Germany's DAX fell 3.1%, while France's CAC 40 sank 3.5%.

European banks declined after Citigroup shares tumbled more than 20% in the US. In Europe, Credit Suisse fell nearly 10%, Dutch financial group ING lost 9%, Germany’s Deutsche Bank dropped 9% and Spain’s Banco Santander ended down 6%. Royal Bank of Scotland bucked the trend, rising 9% as shareholders met to approve a fundraising plan.

Energy shares tracked oil prices lower. OMV, Royal Dutch Shell and Petroplus were down between 5% and 15%. Mining companies were also lower, with BHP and Rio Tinto down by between 9% and 10%.

Dutch supermarket group Ahold advanced 9% after the company reported a higher-than-expected 11% rise in core quarterly profit and reiterated its full-year margin target.

Among European auto stocks, carmaker Peugeot was down 4% after unveiling plans to cut 2,700 jobs and saying that car sales volume in main European markets would drop by at least 10% in 2009 and 17% in the fourth quarter. Renault and Porsche shores lost between 5% and 6%. Umicore, a leading manufacturer of catalysts for cars, was down 15% after a profit warning linked to the weak auto market.

Insurers also fell heavily. Britain’s Aviva lost 17%, French AXA declined 7%, and Swiss Life shed 11%.

Air France-KLM Group slipped 5%. Europe’s biggest airline said fiscal second-quarter profit declined 49% because of high fuel costs and after a year-earlier gain from the sale of assets.

The Swiss National Bank made a surprise full percentage point cut in interest rates on Thursday, a third reduction in quick succession aimed at stopping the economy sliding into recession.

Commodities
Oil dropped, touching its lowest level since May 2005 as record US job losses intensified concerns of a deep global recession and further crushed demand expectations.

Gold rose on speculation the Federal Reserve will lower interest rates to stimulate the US economy, boosting the appeal of the precious metal as an alternative asset.

Corn, soybeans and wheat plunged as global stocks tumbled to a five-year low, increasing speculation that a weakening world economy will curb demand for food, animal feed and alternative fuels made from crops.
European stocks slumped, with oil and bank stocks leading the decline.

National benchmark indexes retreated in all of the 18 western European markets. The UK's FTSE 100 lost 3.3%. Germany's DAX fell 3.1%, while France's CAC 40 sank 3.5%.

European banks declined after Citigroup shares tumbled more than 20% in the US. In Europe, Credit Suisse fell nearly 10%, Dutch financial group ING lost 9%, Germany’s Deutsche Bank dropped 9% and Spain’s Banco Santander ended down 6%. Royal Bank of Scotland bucked the trend, rising 9% as shareholders met to approve a fundraising plan.

Energy shares tracked oil prices lower. OMV, Royal Dutch Shell and Petroplus were down between 5% and 15%. Mining companies were also lower, with BHP and Rio Tinto down by between 9% and 10%.

Dutch supermarket group Ahold advanced 9% after the company reported a higher-than-expected 11% rise in core quarterly profit and reiterated its full-year margin target.

Among European auto stocks, carmaker Peugeot was down 4% after unveiling plans to cut 2,700 jobs and saying that car sales volume in main European markets would drop by at least 10% in 2009 and 17% in the fourth quarter. Renault and Porsche shores lost between 5% and 6%. Umicore, a leading manufacturer of catalysts for cars, was down 15% after a profit warning linked to the weak auto market.

Insurers also fell heavily. Britain’s Aviva lost 17%, French AXA declined 7%, and Swiss Life shed 11%.

Air France-KLM Group slipped 5%. Europe’s biggest airline said fiscal second-quarter profit declined 49% because of high fuel costs and after a year-earlier gain from the sale of assets.

The Swiss National Bank made a surprise full percentage point cut in interest rates on Thursday, a third reduction in quick succession aimed at stopping the economy sliding into recession.

Commodities
Oil dropped, touching its lowest level since May 2005 as record US job losses intensified concerns of a deep global recession and further crushed demand expectations.

Gold rose on speculation the Federal Reserve will lower interest rates to stimulate the US economy, boosting the appeal of the precious metal as an alternative asset.

Corn, soybeans and wheat plunged as global stocks tumbled to a five-year low, increasing speculation that a weakening world economy will curb demand for food, animal feed and alternative fuels made from crops.