Plunging Auto Sales Weigh Down Markets

Plunging auto sales reinforced concerns about a long and protracted recession to send the markets down to a modestly lower close with the Dow losing 37 points to 6726. Nasdaq eased 2 points to 1321.

On the upside

The cash compensation for Blackstone Group (NYSE: BX) co-founder and chief executive Stephen Schwarzman plunged 99% to just $350,000.

Shares of Blackberry maker Research in Motion (Nasdaq: RIMM) climbed after market research firms NPD Group and Gartner said that sales of smartphones grew last year.

American Express (NYSE: AXP) cited an accounting error for raising its fourth quarter earnings.

On the downside

Manitowoc (Nasdaq: MTW) announced that it will take a $175 million non-cash charge and warned that it may violate debt agreements.

Par Pharmaceutical (NYSE: PRX) swung to a fourth quarter loss due to restructuring and legal expenses.

Blount International (NYSE: BLT) blamed a drop in international sales and increased steel prices for sharply lower fourth quarter earnings and warned that 2009 revenue will fall.

In the broad market, declining issues outpaced advancers by a margin of nearly 2 to 1 on the NYSE and by more than 5 to 3 on Nasdaq. The Russell 2000 which tracks small cap stocks tumbled 7 points to 361.