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Stocks Tumble to Lowest Point Since 1997

The White House’s stimulus package did nothing to calm investor anxiety as the two major economic gauges fell to lows not seen since 1997. The Dow Jones industrial average tumbled 250 points and the S&P 500 index lost 26 points.

The stock market in the U.S. suffered a major blow today when the Dow and S&P fell to levels not seen in nearly 12 years. The stock indexes have tumbled because of fears the U.S. government won’t be able to lift the country out of the recession.

The Dow Jones industrial average sank by 250 points, or 3.4 per cent, according to early tallies. The slide ended at the lowest point since May 7, 1997.

The S&P 500 index lost 26 points, decreasing at the lowest point since April 11, 1997.

The market’s steady decline follows massive losses from last week when the major stock indexes tumbled more than 6 per cent. They plunged through the lows they reached in late November, at the height of the credit crisis.

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