Stock prices fell sharply in the final half hour of trading today because of continued fears about the banking and auto industries. The Dow Jones Industrial Average lost 7.3% of its value today. NPR's Jim Zarroli reports.
Prices were down throughout much of the day, but the drop accelerated after a credit downgrade of General Motors. The decline was unusually swift with the Dow tumbling several hundred points in minutes. By the end of the day, the Dow was down below 9,000 for the first time in five years. It's lost nearly 40% of its value in a year. This is the 7th straight day of losses in the markets, and it's happened despite a number of extraordinary attempts by the Federal Reserve and the Treasury Department to restore confidence. That's included an unusual coordinated interest rate cut by the world's major central banks. Over the weekend, US officials will meet with finance ministers and central bankers in Washington to discuss further steps to take. Jim Zarroli, NPR News, New York.
On Wall Street, the Dow Jones Industrial Average fell 678 points today to end the session at 8,579. The NASDAQ lost 95 points. The Standard & Poor's 500 dropped 75 points today.
The White House says President Bush will address the American people tomorrow morning in an effort to reassure them about the state of the US economy despite recent market volatility. The administration, meanwhile, is said to be looking at partial government ownership of many of the nation's banks. Administration officials are quoted as saying that the 700-billion-dollar financial rescue package passed by Congress and signed into law by the president last week will give Treasury the ability to inject capital into those financial institutions in exchange for an ownership stake.
GOP White House hopeful John McCain says the government needs to prop up home prices in order to stabilize the faltering economy. NPR's Scott Horsley has that story.
John McCain says families and small businesses won't see their economic fortunes rebound until home prices stop falling. He's proposed having the federal government buy at risk mortgages directly from struggling home owners, replacing them with cheaper fixed-rate loans that would help prevent foreclosure. Barack Obama has criticized the plan as a taxpayer-funded reward for irresponsible lenders. But McCain told a town hall meeting in Wisconsin, it's necessary to address a once-in-a-life-time financial crisis. "So these are somber times and they are difficult times and they are challenging times, all across the state of Wisconsin and all across America." Even so, many of the questions at the townhall meeting weren't about pocketbook issues, but abortion, Iraq and when McCain will get more aggressive in attacking his Democratic rival. Scott Horsley, NPR News, Waukesha, Wisconsin.
Shares of some insurance companies sank further today amid worries that further capital needs could hit more companies similar to the problems that caused the government to rush to the rescue of AIG. Shares of Prudential Financial, the second largest US insurer, fell, as did a number of other companies. AIG, once the world's biggest insurance company, several weeks ago got an 85-billion-dollar loan from the government.
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Prosecutors have now rested their case in the trial of Alaska Senator Ted Stevens. Prosecutors have accused Stevens of lying about more than 250,000 dollars worth of renovations done to his home in Alaska as well as other gifts received from VECO Corporation, a giant oil pipeline company. The prosecution had said its case was wrapped up yesterday, but was subsequently allowed to call one more witness, an oil company worker who reportedly worked at Stevens' home. Among those scheduled to testify on behalf of Stevens are former Secretary of State Colin Powell and Senator Daniel Inouye of Hawaii.
Last year, one in four teenage girls received the HPV vaccine, which protects against most types of cervical cancer. NPR's Patti Neighmond reports on the vaccination survey from federal health officials.
The HPV vaccine came on the market two years ago. It's recommended for 11 and 12-year old girls before they become sexually active. The human papillomavirus is the most common sexually-transmitted infection in the US. Health officials say they're pleased with the vaccine rates, but they'd like to see 90% of girls vaccinated. Although the vaccine is expensive, three doses cost about $350. Most insurance companies pay for it. Federal health officials surveyed 3,000 households with teenagers and found rates for all recommended vaccines were up, including vaccines against meningitis and whooping cough. Patricia Neighmond, NPR News.
Mormon Church has added its voice to the list of those working to pass a California ballot initiative banning same sex marriage. Under its Proposition 8, the ballot initiative would amend the state's constitution to limit marriage to a man and a woman, in an effort to overcome a State Supreme Court decision that legalized same sex unions in California. |