Wall Street Woes - Stocks Slump on Bleak Economic Reports

Submitted by ub on Wed, 06/01/2011 - 23:31

Stocks on Wall Street slumped more than 2.2 percent and Treasury yields fell sharply on Wednesday as new economic statistics sent a bleak picture of the employment and manufacturing sectors. This ends a four-day rally with the worst day since August. Maybe more losses as investors see signs the economic recovery is fading.

A monthly report from ADP Employer Services, the payroll processing firm, said that private employers added 38,000 jobs in May, the smallest increase since last September. And an index of manufacturing fell to a 19-month low. At market close, the Dow Jones industrial average was off 279.65 points, at 12,290.14. The broader Standard & Poor’s 500-stock index showed a similar decline.