5:00PM New York, 11:00PM Frankfurt, 2:30AM Mumbai – Global markets fell as credit jitters resurfaced. Averages in the U.S. fell more than 2.5%. European markets edged lower. Asian markets declined between 1% and 2%. Brazil led the world markets with a decline of 3.75%. Oil traded above $90 per barrel.

Global Markets Indexes

Dow Jones Industrial Average closed down 366.94 or 2.64% to a close of 13,522.02, S&P 500 edged lower 2.56% or 39.45 to 1,500.63, and Nasdaq Composite Index traded down 74.15 or 2.65% to a close of 2,725.16. In Toronto TSX Composite fell 330.37 or 2.31% to close at 14,001.66.

Of the 30 stocks in Dow Jones Industrial Average all stocks closed lower.

Twenty six of the thirty stocks fell more than 1%. 3M led the decliners with a loss of 8.5% followed by losses in General Motors of 5.7%, Caterpillar of 5.2%, Honeywell of 3.9%, and Citigroup of 3.35%.

Of the stocks in S&P 500, 19 closed higher and 481 fell.

One Hundred and eighty five stocks fell more than 3% and two stocks rose more than 3%. SanDisk led the decliners with a sharp fall of 15% followed by losses in Schlumberger of 11%, Smith International of 10%, and MGIC of 9.8%, and National Oilwell of 9.1%, and in Paccar of 8%. Boston Scientific led the gainers with a rise of 4.1% followed by increases of 3% in IMS Health, 2.4% in V F Corp, and 2.3% in First Horizon.

In London FTSE 100 Index closed down 81.50 or 1.23% to 6,527.90, in Paris CAC 40 index fell 26.76 or 0.46% to close at 5,740.48, and in Frankfurt DAX index decreased 0.47% or 37.28 to close at 7,884.12. In Zurich trading SMI fell 1.00% or 90.28 to close at 8,937.20.

In Tokyo Nikkei 225 index lost 1.71% or 291.72 to close at 16,814.37, in Hong Kong Hang Seng index on Thursday closed up 0.57% or 166.34 to 29,465.05 but was closed on Friday, in Australia ASX 200 closed down 61.40 or 0.91% to close 6,706.30.

Sensex in India fell 1.76% or 438.41 to 17,559.98. In South Korea Kospi Index fell 34.99 or 1.75% to close at 1,970.10 and Indonesia closed down 52.99 to 2.02% to 2,563.75.

In Latin Markets Brazil led the decliners with a fall of 3.74% followed by losses of 3.01% in Mexico, and 1.48% in Argentina and Venezuela. Colombia and Chile lost 0.7% and Peru lost 1.13%.

Bond Yields edged lower on 10-year U.S. bonds to 4.39% and 30-year bond edged lower to close at 4.69%.

Commodities, Metals, and Currencies

Crude oil fell $0.87 to close at $88.60 per barrel for a front month contract, up 41.5% for the year, natural gas fell 33 cents to $7.04 per mBtu, and gasoline futures declined 1.64 cents to close at 216.87 cents per gallon.

Gold edged lower $0.30 in New York trading to close at $768.40 per ounce, silver closed down 17 cent to $13.64 per ounce, and copper for front month delivery in London fell $107.50 to $7,887.50 per pound.

Dollar edged record low against euro to $1.4302 from $1.424 and lower to 114.522 yen from 115.17 yen.


2:00PM New York – Global markets trade lower. Japan lost 3% for the week and European markets fell on strong euro and weak banks.

A flood of earnings from large U.S. companies failed to dampen the sober mood in the morning trading. Nasdaq and S&P 500 at its worst declined 1.5% and Dow fell 2% as oil climbed above $90 a barrel and dollar dropped to yet another record low.

Wachovia bank reported a decline of 10% in profit on $1.3 billion of charges from leveraged loans and structured products. The news of the charge before the market opening hurt the sentiment. Investors are increasingly worried that the unfolding correction in the housing market may lower earnings in the financial sector in the coming quarters.

Overnight the governor of the Bank of Japan commented that left an impression in the market that credit markets may take longer to stabilize.