On the week, the Dow Jones plunged 18%, to 8451.19 points, down more than 1,800 points.
The Nasdaq, with a strong technology component, has dropped 15.3% to 1649.51 points and the Standard and Poor's 500 18.2% to 899.22 points.
"The market is governed more by emotion than by logic fundamental", was sorry Saturday Stovall, Standard and Poor's.
The symbolic thresholds have been passed quickly for Dow Jones, the 10,000 items were broken Monday, Thursday 9000 points and 8000 points Friday. The decline reached 22.1% since the beginning of the month. The Dow also recorded a decline Thursday historic day: -7.33%.
Quite unusual, investors have also deserted the bond market, which is generally market refuge in times of crisis, because of the low-risk debt service.
Yields, which move in the opposite direction of price, rose: the good of the Treasury 10-year advanced to 3861% 3644% against last Friday, one to 30 years to 4137% 4123% against.
Next week, the publication of a series of economic indicators - retail sales, industrial production, producer prices and consumption - usually eagerly awaited on Wall Street, should move into the background.
"The fundamentals do not really in the eyes of the market now because there are so many things that have nothing to do with the value of enterprises that concern," said Marc Pado, Cantor Fizgerald. According to him, statistics ahead will be bad anyway, because of the deteriorating economic environment.
Market operators were clearly dissatisfied with the measures taken so far neither the announcement of the acquisition of treasury bonds by the U.S. Federal Reserve Tuesday, nor the concerted action of seven major central banks to lower interest rates Wednesday Or nationalization of banks around the world have allayed their fears.
The market has consistently failed to rebound, sealed almost every day at the end of the meeting by massive sales orchestrated by investment funds to reimburse their customers.
"Investors expect something that will reduce the Libor rate (the interbank rate, ie). And so far they have not seen anything like it. The banks remain reluctant to lend to each other," says Stovall Saturday.
For the economist, we must address not the "symptoms" but the "disease" mortgages, "because if the likelihood is greater that people repay, the banks will be more inclined to lend" .
Next week, the publications of results companies will multiply, but the reception given to the first companies that have risked - Alcoa and IBM - does not presage good. Among the dozens of companies that publish their results, banks JPMorgan Chase (Wednesday), Citigroup, Merrill Lynch and Wells Fargo (Thursday), will be particularly monitored.
Saturday Stovall eventually rely on physics: "if we consider the market as a resilient, it has been so stretched that even if it remains on its downward trend, it will take him back at once, not if only for a short period ".( Finance Information City )
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