Stocks fell hard, posting their longest losing streak since the heart of the 2008 credit crisis, on investor worries about upcoming federal deficit cuts and a likely stall in the recovery. The market started the day lower after a weak report on personal income and spending showed Americans cut spending for the first time in 20 months in June. Tech stocks followed the broad market, with big declines from MetroPCS Communications, which posted disappointing earnings. Implied volatility spiked to the 24 level on huge trading volumes.
Wednesday, August 3, 2011
Extended declines
Stocks fell hard, posting their longest losing streak since the heart of the 2008 credit crisis, on investor worries about upcoming federal deficit cuts and a likely stall in the recovery. The market started the day lower after a weak report on personal income and spending showed Americans cut spending for the first time in 20 months in June. Tech stocks followed the broad market, with big declines from MetroPCS Communications, which posted disappointing earnings. Implied volatility spiked to the 24 level on huge trading volumes.
