Wall Street tumbles with major losses

Wall Street took another tumble on Wednesday, with the Dow Jones Industrial Average spiralling down by more than 700 points amid renewed worries the United States is already in the grip of a recession, dpa reported.

US Federal Reserve chief Ben Bernanke warned that the emergency action taken by the Bush administration in response to the financial crisis is unlikely to produce a swift economic recovery.

"Stabilization of the financial markets is a critical first step, but even if they stabilize as we hope they will, broader economic recovery will not happen right away," Bernanke said to the Economic Club of New York.

The Dow fell by 733.08 points, or 7.87 per cent, to 8,577.91, nearly erasing a massive rally on Monday in what had been a brief glimmer of hope following the rush by governments to stave off wider economic fallout caused by the financial crisis.

The broad-based Standard & Poor's 500 Index lost the largest share, plunging by 9.03 per cent, or 90.17 points, to 907.84 when trading concluded. The Nasdaq Composite declined by 150.68 points, or 8.47 per cent, to 1628.33.

Meanwhile, the economic forecast worsened as the Federal Reserve reported that activity weakened across the United States in September as consumers and businesses grew more pessimistic.

The report known as the Beige Book, which is published eight times a year on conditions in the central bank's 12 regions, showed consumer spending and manufacturing had decreased in most areas.

The US government late Tuesday reported a record deficit of 455 billion dollars for 2007-08 budget year that ended on September 30. The deficit represents 3.2 per cent of the gross domestic product (GDP) of the 14-trillion-dollar US economy, nearly triple the 2006-07 deficit of 161.5 billion dollars and 1.2 per cent of the GDP.

The president of the San Francisco branch of the Federal Reserve, Janet Yellen, said she believed the United States had already fallen into recession.

The dark cloud over the US stock exchange has spread around the world. Europe's blue-chip Stoxx50 closed down 5 per cent on Wednesday.

The announcement Tuesday that the US government would follow Europe's example and use 250 billion dollars of a finance rescue package to buy up bank shares failed to stop stocks from sliding on Tuesday, and the decline took a sharp turn for the worse on Wednesday.

The US Commerce Department reported Wednesday that retail sales fell by 1.2 per cent in September, almost twice economists' estimates, while the three largest US oil companies, Exxon Mobil, Chevron and ConocoPhillips, said they lost more than 5 per cent as crude fell below 75 dollars a barrel for the first time since September 2007.

Two finance giants - JPMorgan Chase and Wells Fargo - reported large declines in profits, but still remained in the black.

The third-largest US air carrier Delta Air Lines reported it lost 50 million dollars in the third quarter of 2008 amid rising fuel costs, while American Airlines, the nation's largest, lost 360 million dollars on ongoing operations in the third quarter, parent company AMR said.

Coca-Cola Co, the world's largest soft drink manufacturer, reported a third-quarter profit increase of 14 per cent to 1.9 billion dollars despite the economic downturn.

On the currency markets, the dollar dropped against the Japanese yen to 99.93 yen from 101.88 yen on Tuesday, but climbed slightly against the euro to 74.10 from 73.36 euro cents on Tuesday.

5.2 mln Ethiopians in restive northern region need food aid - UN
5.2 mln Ethiopians in restive northern region need food aid - UN
Google leads U.S. business push to preserve work permits for H-1B spouses
Google leads U.S. business push to preserve work permits for H-1B spouses
Second batch of Sputnik V vaccine expected to be delivered to India by end of the week
Second batch of Sputnik V vaccine expected to be delivered to India by end of the week
Loading Bars
Latest
New project 'Log in Georgia' to give access to high-speed internet to people in rural areas
Head of Kazakhstan holds meeting with World Bank Vice President for Europe and Central Asia
Lithuanian company launches innovative complex solution in Azerbaijan's financial sector
5.2 mln Ethiopians in restive northern region need food aid - UN
Improved coronavirus conditions lead to further relaxation of restrictions in Cyprus
Israel's annual inflation up 0.8 pct, highest in nearly 2 years
Chairs of Azerbaijani Parliament, Turkish National Assembly talk issues of mutual interest
COVID-19 kills 202 more Iranians over past 24 hours
Lithuania gifts 15,000 Covid-19 vaccines to Georgia
Turkey to gradually relax COVID-19 measures, normalcy in June
President Tokayev receives Finnish Minister for Development Cooperation and Foreign Trade
First Vice-President Mehriban Aliyeva made another post from Karabakh (PHOTO/VIDEO)
Germany's COVID-19 incidence rate drops below 100 for first time in two months
Georgia updates environmental targets with support from EU4Climate project
Azerbaijani FM, high-ranked EU official discuss Armenian-Azerbaijani border situation
Extra costs to air fares for PCR testing almost double flight cost - IATA
SOCAR to supply Rosneft’s oil products to Baltic states, Ukraine, Poland
Google leads U.S. business push to preserve work permits for H-1B spouses
Production of electric cars in Iran needs more motivation - ministry official
Azerbaijan, US exchange views on Armenian-Azerbaijani border situation
Azerbaijan shares data on number of vaccinated citizens for May 14
Georgia negotiating with South African, Polish companies to manufacture military UAVs
Second batch of Sputnik V vaccine expected to be delivered to India by end of the week
London May cocoa expiry sees 72,230 tonnes tendered
Azerbaijan confirms 326 more COVID-19 cases, 1,262 recoveries
Azerbaijan names date of issuing tickets for UEFA EURO 2020 matches in Baku
Afghan president calls Azerbaijani president
Wizz Air joins airlines cancelling Tel Aviv flights
Georgia receives financing from WB toward cost of energy supply reliability
More Azerbaijani enterprises to export tomatoes to Russia
'Lancet report on India COVID-19 response another attempt to undermine developing country's ability to challenge big pharma's monopoly'
Kazakh telecommunications company opens tender to buy station for wells management
Russia reports 9,462 daily COVID-19 cases
Azerbaijani MoD names number of commissioned military units in liberated areas (PHOTO)
Total assets of INPEX rise in Q1 2021
INPEX sees decrease in net natural gas sales
INPEX Corporation increases net sales of crude oil
Turkish company Chalik Holding to build new wind farm in Georgia
No oil deliveries planned from Azerbaijan to Belarus in May
Revenues of Azerbaijan State Maritime Agency decrease
Kazakhstan's ERG eyeing more investments into future projects
Kazakhstan sees decrease in trade with Netherlands
Kazakhstan, France discuss fuel energy cooperation prospects
Georgia reports 1,390 new cases of coronavirus for May 14
France's Macron to go down in history as killer of OSCE Minsk Group
Airbnb bookings jump 52% as vaccinations spur vacation rental demand
SOCAR ready to share capacity of Southern Gas Corridor with Turkmenistan
Kazakhstan decreases exports to Hungary
Azerbaijani oil prices decline
Russian IrAero to launch flights to Azerbaijan soon
Zulfiya Khanbabayeva to be the next narrator of Nar's ‘Reading hour’ project (PHOTO)
Apple supplier Foxconn reports Q1 profit T$28.2 bln, beats estimates
Kazakh gas supply company opens tender for pipeline maintenance
Georgia reveals rating of its largest wine and spirits companies
Georgian Geofresh company eyes Europe, Dubai to expand exports
Georgian Adjara creating new platform for tourism development
Turkey discloses number of ships received by Tuzla port
Turkish ministry discloses volume of cargo handled through Bartin port
Sweden, WB supporting Georgia by addressing wastewater treatment challenges
IMF underlines successfully completed four-year extended program in Georgia
Georgia considers opening of land borders
UN Secretary General calls for immediate cessation of hostilities in Gaza Strip and Israel
Kazakhstan requires sustainable management practices for natural resources - UNIDO
Iran’s FM meets with Spanish counterpart
Kazakhstan reports 2,549 more COVID-19 cases, total at 353,140
Turkey reports 11,534 new COVID-19 cases, 5,083,996 in total
6.0-magnitude quake strikes off Japan's Fukushima Prefecture, no tsunami warning issued
Colonial Pipeline restarts entire pipeline system - company statement
Hamas launches 100 more missiles in direction of Ashkelon
More than 745,000 COVID-19 infections detected worldwide over past 24 hours - WHO
UN Security Council to hold open session on Israel and Gaza Strip on May 16
Oil prices drop as U.S. pipeline resumes operations
Latvia eases entry rules for vaccinated travelers
Three rockets launched toward Israel from Lebanon, no damage -Israeli military
Africa's COVID-19 cases surpass 4.66 mln
Over 500 residential buildings razed by Israeli airstrikes in Gaza Strip
Azerbaijani Foreign Ministry issues statement on tension on Armenian-Azerbaijani border
China's Qinghai donates anti-pandemic supplies to Kyrgyzstan
Azerbaijani FM talks tension on Azerbaijani-Armenian border with OSCE Chairman-in-Office
Georgian's commercial banks see increase in number of total loans
Azerbaijani, Russian FMs exchange views on tensions on Azerbaijani-Armenian border
Overseas election headquarters established at Iran’s foreign ministry
Sputnik V approved for use in Republic of Maldives
Azerbaijan shares data on number of vaccinated citizens for May 13
Azerbaijan confirms 509 more COVID-19 cases, 1,427 recoveries
COVID-19 cases decrease in 80 Turkish provinces in a week
Tajikistan delegation to visit Uzbekistan on May 14
Gaza death toll jumps to 84 as Israeli air raids intensify
Musk decries bitcoin's 'insane' energy use after Tesla payment U-turn
Azerbaijani president got touched by National leader Heydar Aliyev's words about Shusha (VIDEO)
Azerbaijani president once again says at Jidir Plain in Shusha - Karabakh is Azerbaijan! (VIDEO)
EU countries urged to halt non-essential travel from India
U.S. weekly jobless claims fall
Gaza flare-up further weakens shekel
Georgia increases aviation fuel imports
Iran ready to have closer ties with Saudi Arabia, FM says
Azerbaijan’s import of goods from Italy down
Iran talks insurance data in its mining sector
Turkish ministry discloses volume of cargo handled through Mersin port
Georgia adopts new rule on forest use
All news