Dow crashes after possible human error - WAOW - Newsline 9, Wausau News, Weather, Sports

Dow crashes after possible human error

NEW YORK (ABC)-- Economic news all mixed together Friday, with volatility swinging around the world.  The Dow dropped 1,000 points Thursday. That coupled with fears that the debt crisis in Greece could spread, is sending international stock markets lower Friday.  But Dow futures rose overnight, likely because of the release of another positive jobs report.

Asian stock markets fell across the continent early Friday, following massive losses on Wall Street Thursday.  At one point, the Dow Jones Industrial Average plunged nearly 1,000 points,  the biggest drop EVER during a trading day.

By 2 p.m. on Thursday, the Dow was down 300 points due to the continuing unrest in Greece over huge tax hikes and spending cuts.  Then, the drop that had market watchers shaking their heads in disbelief.  By 2:42 p.m. the market was down 411 points.  At 2:44 p.m. the plunge was 516 points.  At 2:46 p.m. 707 points and by 2:48 p.m. down 995 points.  Bottoming out down 998 points, a plunge of 587 in just 6 minutes.

Late Thursday, human error was being blamed for the free fall.  Speculation that a trader looking to sell $16 million in shares, accidentally punched $16 billion.

Then a rebound.  As the day's trading finally came to a close, the Dow was down 347 points.

The hope is that the markets will rally again Friday on the expected news that the economy added jobs for the second straight month.

Because of the likely human error, the NASDAQ and the New York Stock Exchange announced they'll cancel some trades made during the period of severe volatility.

Online Reporter: Jill Courtney


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