U.S. stocks fall on economic worries
NEW YORK, Jan. 18 (UPI) -- U.S. stocks rallied, and then fell Friday as new concerns about bond issuers and continuing fear of a recession kept stock indexes down 4 percent for the week.
The slide could not be halted by positive news, such as robust showings by blue chip companies General Electric and IBM, and a $145 billion economic stimulus proposal outlined by U.S. President W. George Bush.
The Dow Jones industrial average fell 59.91 points, or 0.49 percent, to close at 12,099.30.
The Nasdaq composite was down 6.88, or 0.29 percent, at 2,340.01. The Standard & Poor's 500 fell 8.06, or 0.60 percent, at 1,325.19.
Volume on the New York Stock Exchange topped 1.7 billion shares traded, with 1,130 stocks up and 2,024 down.
Bonds were mixed. The 2-year Treasury note was up 3/32, yielding 2.354 percent Friday.
The dollar was mixed. The euro traded at $1.4611 from $1.4657 late Thursday. The greenback changed hands at 106.64 yen from 106.68 yen late Thursday.
All major U.S. financial exchanges will be closed Monday for Martin Luther King Day.
Oil prices gain slightly on unstable day
NEW YORK, Jan. 18 (UPI) -- Crude oil prices wavered Friday but gained slightly after U.S. President George W. Bush revealed his stimulus plan for the economy.
Futures for February delivery were up 43 cents at $90.56 a barrel on the New York Mercantile. Earlier, prices topped $91 but fell back.
Investors generally kept close watch on the stock market, where prices also fluctuated and an early rally rapidly became another big loss.
Natural gas was off 0.13 cent at $7.95 per million British thermal units.
Heating oil was up 0.57 cent at $2.5092 a gallon. Reformulated gasoline blendstock rose 3.87 cents at $2.3055 a gallon.
U.S. motorists paid an average price of $3.033 a gallon for regular unleaded gasoline at the pump, compared with $3.044 Thursday, the AAA Fuel Gauge Report said.
Amtrak strike averted by tentative deal
NEW YORK, Jan. 18 (UPI) -- Amtrak Friday announced a tentative deal with nine labor unions had averted a "crippling" strike at the end of January.
Specifics of the agreement were withheld until the proposal is ratified by union members during the next several weeks, Amtrak, the nation's quasi-government passenger rail corporation, said.
The contract is believed to follow recommendations of a presidential emergency board on Dec. 30 in which Amtrak was urged to grant back wages to its workers, The Wall Street Journal reported.
"We have averted a possible strike that could have had a crippling effect on the lives of millions of Americans," Alex Kummant, Amtrak president and chief executive, said in a statement.
Sprint to cut 4,000 jobs, close 125 stores
RESTON, Va., Jan. 18 (UPI) -- Struggling Sprint Nextel says it expects to eliminate 4,000 positions and close 125, or 8 percent, of its company-owned retail stores.
Layoffs are likely to be completed in the first half of the year and will include management and non-management positions, Sprint said.
The Reston, Va., company has about 20,000 total distribution points, including nearly 1,400 company-owned retail locations, The Wall Street Journal said.
Sprint said it had a net loss in the fourth quarter of 683,000 post-paid subscribers. That more than offset a gain of over 700,000 subscribers.
