Photo: Marc oh! on Flickr
Markets tumbled in a late market sell-off after lots of negative news about U.S. and German banks.First, your scoreboard:
Dow: -201.81, -1.67%
S&P 500: -21.60, -1.72%
NASDAQ: -46.05, -1.75%
Here’s what happened today:
- European and Asian markets closed down on a day of negative news and commentary out of the eurozone.
- Occupy Wall Street protestors returned to Zuccotti Park in New York City this morning, after being evicted yesterday. They were not allowed to set up their tents, and their numbers appear to have dwindled. Check out Wednesday’s scene at Zuccotti Park >
- Italian PM Mario Monti will take on a second role in his government—Finance Minister. The former European Commissioner also named Corrado Passera, the CEO of banking giant Intesa Sanpaolo, as Minister for Economic Development. Here is the story of why Italy’s getting crushed >
- Tyco beat earnings, reporting $0.92 per share over expectations of $0.86. Target also beat, coming in with EPS of $0.87 rather than estimates of $0.74.
- CPI data for the U.S. came in pretty tame, sinking 0.8% rather than the 0.0% that was expected. That followed a PPI report yesterday that also suggested downside risks to price stability.
- Industrial production saw its biggest jump since July, growing by 0.7% in October.
- Everyone’s talking about the feasibility of a more radical solution to the eurozone crisis. The German Council of Economic Experts is reportedly considering a plan that would create a “European Redemption Fund” to take on sovereign debt in excess of the 60%.
- Also shocking were statements by Irish PM Enda Kenny and new Greek PM Lucas Papademos, who both said that EU leaders will need to undertake stronger measures than those agreed upon on October 26 in order to save the eurozone. In particular, Kenny called the firepower European Financial Stability Facility “insufficient.”
- Moody’s downgraded 10 public-sector German banks—the “Landesbanken”—on fears that they would not be likely to receive external support if needed.
- The price of oil passed $100/barrel today, hitting well over $102.50 before falling late in the trading day. This sparked worries that the price of oil could cause another recession.
- Fitch Ratings released a report saying that U.S. banks are in good shape right now, but could get screwed if Europe gets worse.
- BONUS: 4 Economic Titans Got Together For A Debate, And This Is What They Said >