Markets Pare Losses But Still Closes Lower

The markets pared some of its losses but still ended lower after the federal government assured citizens that there was no need to nationalize banks. The Dow plunged 100 points to 7366 while Nasdaq slipped 2 points to 1441.

On the upside

Huntington Bancshares (Nasdaq: HBAN) began eliminating jobs in order to save $100 million.

Kindred Healthcare (Nasdaq: KND) posted higher fourth quarter earnings that beat expectations and lifted the low end of its 2009 guidance.

Wachovia analyst Rich Kwas (NYSE: GPI) upgraded Group 1 Automotive citing the company's reduction of debt last year.

On the downside

Stifel Nicolaus downgraded Williams Partners (NYSE: WPZ) after the company reported lower fourth quarter earnings.

Credit Suisse downgraded Adobe Systems (Nasdaq: ADBE).

Shares of Hartford Financial (NYSE: HIG) tumbled over continued concerns about the life insurer's exposure to mortgage losses.

In the broad market, declining issues outpaced advancers by a margin of more than 3 to 1 on the NYSE and by nearly 5 to 2 on Nasdaq. The Russell 2000 which tracks small cap stocks dropped 6 points to 411.