Stocks skidded Monday, with the Dow slumping nearly 778 points, in the biggest single-day point loss ever, after the House rejected the government's $700 billion bank bailout plan.
The day's loss knocked out approximately $1.2 trillion in market value, the firstpost-$1 trillion day ever, according to a drop in the Dow Jones Wilshire 5000, the broadest measure of the stock market.
The Dow Jones industrial average (INDU) lost 777.68, surpassing the 684.81 loss on Sept. 17, 2001 - the first trading day after the September 11 attacks. However the 7% decline does not rank among the top 10 percentage declines.
read the CNN story
My thoughts: Not a big deal. Wall Street hates uncertainty. The markets dropped at the opening bell because of concern that the bailout would be passed. Then after the bailout was defeated it dropped again as uncertainty increased. Now Congress will try to tweak the bailout bill, it may marginally improve or marginally get worse. Congress is trying to prevent the necessary market corrections take place, this in the end will only do more harm than good.
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