Dow plunges 243 on mortgage woes; Viacom sues YouTube $1B

CBS News

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[Music] stocks were dripping in red ink on Wall Street as the Carnage in the mortgage Market deepens the Dow plummeted nearly 243 points the NASDAQ plunged nearly 52 more and more Americans are having trouble making their mortgage payment the rate of homes entering foreclosure reached a record in the fourth quarter and the delinquency rate jumped to nearly 5% that rise was led by homeowners with highrisk subprime mortgages and more troubles for subprime lender New Century the government has seened documents to investigate alleged accounting errors that inflated the value of new Century's loan portfolio the company may also be delisted at the New York Stock Exchange cold weather kept a chill on consumers last month when retail sales Rose a weaker than expected one1 of 1% Viacom is fed up with YouTube the media giant is suing the video sh in site and its parent company Google for more than a billion dollars Viacom says thousands of unauthorized clips from MTV Comedy Central and Nickelodeon have been posted on YouTube another sign of the changing face of the Las Vegas Strip the famed star dust is now just dust the casino which opened in 1958 was imploded early this morning to make way for a $4.5 billion Mega Resort complex that's your money watch log on to CBS News news.com for more in New York I'm Alexis christopherus

Dow rallies 42; New Century faces bankruptcy fears

CBS News

Transcript

[Music] retailers will be in the spotlight today we'll find out just how tight consumers held on to their wallets in February analysts are expecting retailers to announce that sales firmed up last month they're predicting a gain of 3/10 of 1% on Wall Street Monday new concerns about the subprime mortgage Market kept investors on the sidelines through most of the trading day but some big merger news helped give stocks a late day boost the Dow rallied 40 two points the NASDAQ Composite climbed nearly 15 another casualty in the subprime mortgage meltdown New Century says it doesn't have the cash to pay creditors who are demanding their money now and that's increasing speculation that the lender will go bankrupt Bad subprime Mortgages in the US are now at a seven-year High that's forcing more than two dozen lenders to close or sell their operations their troubles May contribute to more than 1 and a half million Americans losing their homes the rise price of corn could mean big changes at Coca-Cola an executive at the soft drink giant says it may have to start looking at alternatives to high fructose corn syrup corn prices have been rising as more corn is being used to produce ethanol that's your money watch log on to cbsnews.com for more business headlines in New York I'm Alexis christopherus