US stocks plunge on European debt worries

[Vi-Jay 218]

US stocks plunge on European debt worries

US stock markets open sharply lower amid growing European debt worries

Francesca Levy, AP Business Writer, On Monday May 23, 2011, 9:39 am

NEW YORK (AP) -- Stocks are opening sharply lower after warnings about the finances of several European countries reignited fears about the region's debt crisis.

The Dow Jones industrial average is down 160 points, or 1.3 percent, at 12,352 in the opening minutes of trading Monday. The S&P 500 is down 17, or 1.3 percent, at 1,316. The Nasdaq composite is down 46, or 1.6 percent, at 2,757.

European markets are falling after Standard & Poor's said Saturday that it might lower Italy's debt rating within two years.

Investors are also concerned that Spain's government will have more difficulty enforcing spending cuts after a defeat for the ruling Socialist party Sunday.

On Friday debt a downgrade for Greece gave investors more reason to fear that the country could require more financial help.

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I just don't know if the US economy has the muscle to save our gov.

I'm not sure if the VJ crowd has seen this vid. If you haven't, it's worth the few minutes.

Substantial spending cuts coupled with tax increases may be the US gov's only hope.

I can't find the word but, I think there is a word with a definition of = the parents eat their own children. Like Guppies.

Edited May 23, 2011 by Vi-Jay