Dow plunges 207 on credit crunch; Walmart cuts outlook

CBS News

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[Music] the Bears we're back on Wall Street on news consumer spending is slowing adding to wall Street's woes more Fallout from the credit crunch in the end the Dow plunged 207 points and is now just 29 Points away from falling below 13,000 the NASDAQ Composite tumbled 43 Walmart threw Wall Street a curve ball the nation's biggest retailer cut its profit outlook for the year blaming the weak economy for its trouble shares of Walmart suffered their biggest one-day drop in 5 years and Home Depot added to the Market's wos saying weakness in the housing market caused its quarterly profit to slip almost 15% and Mattel is toying with danger its stock tumbled 2 and a half% after the toy giant issued its second recall in as many weeks 9 and a half million toys made in China are being pulled from store shelves because they contain either lead paint or small magnets that can be swallowed by children and that next glass of milk is going to cost you milk prices hit a record high in July averaging $3.80 a gallon and they're expected to go even higher the jump is blamed on a growing appetite for dairy products in Asia and a limited worldwide Supply that's your money watch log on to CBS news.com for more in New York I'm Alexis christopherus

Credit crunch tightens lending standards; Adelphia's Rigas jailed

CBS News

Transcript

[Music] the credit crunch has been hammering Wall Street but what does it mean to you well if you're looking to buy a house refinance your mortgage or take a home equity line of credit you may find it more difficult to land alone that's because banks are getting very picky and tightening their lending standards they're now demanding better credit scores and strong proof of income and employment on Wall Street a modest rally evaporated by the closing bell is credit Jitters Remain the Dow dipped three points that's after being up nearly 100 the NASDAQ lost more than two and later today we get a report on inflation at the wholesale level the founder of Adelphia Communications has spent his first night in prison John Ras and his son Timothy reported Monday to a federal prison in North Carolina for their role in the financial collapse of one of the nation's largest C TV companies 82-year-old rigus was sentenced to 15 years in prison 51-year-old Timothy was sentenced to 20 years behind s and another recall involving a Chinese made product a leading supplier of toiletries for luxury hotels recalled complimentary tubes of Chinese made toothpaste worldwide that's after tests found they contained a chemical found in antifreeze that can be toxic the recalled Hotel toothpaste is under the Gilchrist and SS brand it's just the latest in a series of recalls of Chinese made Goods including toothpaste children's toys tires and pet food that's your money watch click on cbsnews.com for the latest business headlines in New York I'm Alexis christopherus