Stock Market Plunge: Dow Drops 200 on Jobs Report

By: WebProNews Staff - June 1, 2012

Stock market plunges as U.S. employers add fewer jobs than analysts had anticipated, according to the Associated Press. The report ultimately caused the Dow Jones industrial average to drop 200 points, which puts it down for the year. This also marks the steepest one-day drop in the past six months. Adding to the stress are the signs of a global economic slowdown, indicated by the 11% unemployment rate for the 17 country that use the euro as currency.

“The big worry now is that this economic slowdown is widening and accelerating,” explained Sam Stovall, the chief equity strategist for the market research firm S&P Capital IQ.

Only 69,000 jobs were added in the United States this past May, causing the unemployment rate to rise to 8.2 percent. Ever hopeful, economists had initially hoped that employers would add nearly 158,000 jobs over the course of the month. Even China, which helped keep the global economy afloat during the recent recession, is showing signs of strain. According to reports, manufacturing was down in May.

In addition to issues with the Dow, the Standard & Poor’s 500 index and Nasdaq composite index were also down two percent. However, these two indexes are currently still up for the year.

WebProNews Staff

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  • John Lackey

    Lies, Lies and more Lies. Our money being wasted to nothing as we speak.Of course not for the wealthy who are able to put stops on how much they lose.Good ole boy casino mafia at its best. Ive said it before and ill say it again.If my 401k ever rises out of this casino madness, I will withdraw every single penny.I dont give a rats ass if I dont make anything of interest on it.At least these greedy bastards on wall street who use any false excuse such as europes woes and of course the job outlook here wont be getting another dime from me.

    • Ben Hagee

      Yes I couldnt agree with you more John, This so called capitalist system has just about run its course I think. The rich have it locked because of the years of robbing and sucking the blood of the poor.They have everything and of course they have our puppet politicians in their back pockets.

  • http://none Michael

    I thought I was the only one that thought this way, so now we see the result of the tax the poor and let the rich make their money off outsourcing and invest it over there
    because the unions demand more of the profit to give the employee a raise when the owner charges more money, never mind that he has always made a profit, no for it is greed that drives him, and as for the politics most of them are already well off and the government will take care of all their needs, what does he or she have to lose, and the beat goes on and on and on, but heaven forbid, give them health care, no way that is a profit cutter, oh by the way HOW MANY POOR DOCTORS DO YOU KNOW?
    Batman Riddle me this

  • Mark

    First thing Monday buy NYB, PFS and TFSL. Stock price ppreciation plus the div!

  • Robert

    I have to concur with John, I’d like to take every last penny out of my 401k which is a scam…

    I hear it all the time, keep paying in and don’t panic. Well, I’m into 12 years so far after I rolled a former pension into a 401k and its yet to make a penny.

    If it wasn’t for my yearly contribution I’d have nothing left! And yet, all you hear is stay the course and it’ll be fine.

    Its all a bunch of crap…

    The middle class is squeezed into a corner while the rich Romney’s of this world complain about the 10% taxes they have to pay while I get stuck paying about 50% total with all added extras such as local real estate and sales taxes added in.

    The majority of American’s are at a breaking point!

  • rafeal scianimanico

    my thought is that the finanical people pushed the politicans into 401k instead of pensions in order to charge commisions and have big parties manage your own money as I started 2 years ago I am up 31% after tax profit and also check your real commisions being paid to these a holes they drive 100,000 cars managing everybodys money who are driving a chep toyota where do you think they get the money??? from you