Dow Jones Industrial Average Closes Down More Than 630 Points, Sixth-Worst Point Loss Ever

On the first day of trading after Standard and Poor’s downgraded U.S. credit to AA+ from the top-level ranking of AAA, the Dow Jones Industrial Average closed down more than 630 points, or 5.5 percent, according to Google Finance. That is the sixth-worst total point drop in the history of the Dow Jones.

The S&P 500 itself suffered an even larger percentage of 6.66 percent on Monday, or 79.9 points, ending at 1,119 points, according to Google Finance.

From Stan Choe of the Associated Press:

NEW YORK (AP) — Stocks plunged Monday as anxiety overtook investors on the first trading day since Standard & Poor’s downgraded American debt.

The Dow Jones industrials fell 634.76 points. It was the sixth worst point decline for the Dow in the last 112 years and the worst one-day drop since December 2008. Every stock in the Standard & Poor’s 500 index declined Monday.

Investors worried about the slowing U.S. economy, escalating debt problems threatening Europe and the prospect that fear in the markets would reinforce itself, as it did during the financial crisis in the fall of 2008.

“‘What’s rocking the market is a growth scare,” said Kathleen Gaffney, co-manager of the $20 billion Loomis Sayles bond fund. “The market is under a lot of stress that really has little to do with the downgrade.” Instead, Gaffney said, investors are focused on “how Europe and the U.S. are going to work their way out of a high debt burden” if economic growth remains slow.

Investors desperately looked for safe places to put their money and settled on U.S. government debt — even though it was the target of the downgrade Friday, when S&P removed the United States from its list of the lowest-risk countries.

The price of Treasurys rose sharply, and yields, which move in the opposite direction from price, fell. The yield on the 10-year Treasury note fell to 2.34 percent from 2.57 percent Friday. That matches its low for the year, reached last week.

“This is largely a flight to safety,” said Thomas Simons, money market economist with Jefferies & Co. “The bond market is really trading off of what’s going on in the stock market.” Money flowed out of stocks and into Treasurys.

Gold set a record. It rose $61.40 to settle at $1,713.20.

Crude oil, natural gas and other commodities fell sharply on worries that a weaker global economy will mean less demand. Oil fell 6.4 percent to settle at $81.31 per barrel.

Fear is spreading quickly through the market, said Dimitre Genov, senior portfolio manager with Artio Global Investors. “It’s becoming a vicious cycle and could feed into consumers reducing their demand as well.” – Huffington Post

No money is available to combat the monetary losses that will be felt as the damage will be staggering to the world economy. The one world currency will soon come into reality, and shortages of food and other items of rationing will require that anyone whom purchases them must have complied with the world government’s mandate so that no one can steal someone else identity and purchase additional items so as to hoard or black market them. Enters the new age of Satan’s mark of the beast. 666 representing the number of a man, being in alignment with Satan as the new ruling authority over all of mankind. Computer chips will be implanted, or Satan’s law will dictate that those refusing must be eliminated.