Global Economic Woes Weigh Down Markets

The markets opened sharply lower to join the global sell-off after Japan posted its worst quarterly economic decline since World War II. The Dow tumbled lost more than 250 points to 7590 while Nasdaq plunged 54 points to 1480.

On the upside

4th quarter profits fell at Wal-Mart Stores (NYSE: WMT), but the results were better than expected. The world's largest retailer also warned that it could miss 1st quarter targets.

Mining was among the few sectors in positive territory as gold prices rose. Shares of Newmont Mining (NYSE: NEM), U.S. Gold (AMEX: UXG) and Seabridge Gold (AMEX: SA) opened higher.

On the downside

General Motors (NYSE: GM) and Chrysler raced to put together a turnaround plan after taking federal bailout funds. However, investors worried about the car makers' inability to wrest concessions from union workers and bondholders.

Moody's Investors Service downgraded mortgage insurers, including MGIC Investment (NYSE: MTG).

Analysts downgraded the shipping industry due to weak global economic trends. Shares of YRC Worldwide (Nasdaq: YRCW) and DryShips (Nasdaq: DRYS) sold off.

BJ Restaurants (Nasdaq: BJRI) was downgraded by an analyst despite last Friday's results that beat expectations.

In the broad market, declining issues overwhelmed advancers by a margin of 8 to 1 on the NYSE and by 6 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks plunged 15 points to 432.

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