U.S. Stocks Suffered Worst Week In Months

January 12. 2009

Last week, U.S. stocks suffered their worst week since the crash in November 2008, much to the dismay of many on Wall Street.

U.S. Stocks Drop, Capping Worst Week Since November, on Jobs

Jan. 9 (Bloomberg) -- U.S. stocks declined, extending the market’s worst weekly slump since November, on concern an increase in the unemployment rate to an almost 16-year high signals the global recession is worsening.

Citigroup Inc., Alcoa Inc. and Target Corp. dropped at least 4.8 percent after employers cut 524,000 positions in December, capping the worst year for firings since 1945. CVS Caremark Corp. slid more than 12 percent, its steepest tumble in seven years, after the second-biggest drugstore chain forecast 2009 profit below analysts’ estimates.

The Standard & Poor’s 500 Index has rallied 18 percent since plunging to an 11-year low on Nov. 20 as investors speculated the worst of the recession is over. The index fell 4.5 percent this week on concern escalating unemployment will further squelch consumer demand after retailers reported worse- than-expected holiday sales.

http://www.bloomberg.com