Wall Street Tumbles in Early Trading Thanks to Fed Announcem

Financial News Network
September 23, 2011 AT 9:54 AM
Stocks fell sharply in early morning trade, extending losses in the markets for the fourth straight session. Investors are selling off in light of the Federal Reserve's weak outlook on the U.S. economy and European debt fears still looming.Big banks are the top losers so far, a day after Moody's cut credit ratings for a few big lenders.Bank of America (NYSE:BAC), Wells Fargo (NYSE:WFC), and Citigroup (NYSE:C) all down over 2 percent with Citigroup having the largest loss at over 4 percent. JP Morgan Chase (NYSE:JPM) and Morgan Stanley (NYSE:MS) are also losing ground with decreases of over 3 and 6 percent respectively. The market mood has turned negative since the Federal Reserves statement on Wednesday, which detailed a stimulus measure to boost the weak economy. Investors are also still questioning whether euro zone governments have control over the sovereign debt crisis and have the means to reverse the slow economic growth. Currently around 11:30 AM ET the Dow has dropped 367 points and is hovering around 10,757.