Thursday's mid-afternoon close: Dow plummets 400 points

27 Jul, 2007

US stocks plummeted on Thursday, with the Dow industrials tumbling 400 points, on more signs of deterioration in the US housing market and problems in financing corporate take-overs. Earnings reports also weighed on stocks.
A drop in quarterly profit at Exxon Mobil Corp wiped out more than $16 billion in market value of the world's largest publicly traded company. Exxon's stock slid 5.4 percent to $87.72.
Worrying news on housing came from home builders D.R. Horton Inc and Beazer Homes. Both posted quarterly losses. Financial shares took a beating on concern that the problems of the battered subprime mortgage market will spread.
The Dow Jones industrial average was down 375.23 points, or 2.72 percent, at 13,409.84. The Standard & Poor's 500 Index was down 45.75 points, or 3.01 percent, at 1,472.34. The Nasdaq Composite Index was down 75.12 points, or 2.84 percent, at 2,573.05.

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