Wall $treet plummets; Qwest confirms accounting investigation

http://www.thescotsman.co.uk/business.cfm?id=747032002

WALL Street went into freefall yesterday, plummeting to lows unseen since 1997, as the market was rocked by yet another accounting scandal and an unexpected reshuffle of the Standard & Poor’s 500.

Selling intensified as the closing bell approached. The Dow Jones Industrial Average slumped 282.59 points, or 3.11 per cent, to 8,813.50, the largest decline since late September 2001.

The broad Standard & Poor’s 500 skidded 32.36 points, or 3.4 per cent, to 920.47, its lowest finish since October 1997.

Wall Street has suffered three straight days of deep declines. The market has been on a mostly downward spiral as blow-ups like WorldCom’s $3.85 billion accounting scandal, fears of another terror attack on the US and apprehension over the forthcoming quarterly earnings season have rattled the market.

Telecom giant Qwest Communications sank more than 31 per cent after the local telephone company said it revealed it was the subject of a criminal investigation by the US Attorney’s office in Denver.
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