KEY POINTS:
It was another horror day on share markets today as investors fretted about the state of the global economy, not just the US financial sector.
The NZX-50 index closed down 81.101 points, or 2.509 per cent, at 3151.539 on a day that Asian share markets posted big losses in the wake of another dive on Wall Street.
"I think the main downward pressure on the Dow was concerns over their economy. The data coming out is showing very little growth," said Grant Williamson, partner at Hamilton, Hindin, Greene.
"The market is now worrying about something else."
Overnight in the US stocks slid as tight credit markets and bleak economic data forced investors to focus on the rocky road still ahead for the US economy even if Congress passes a rescue package for the financial sector this week.
The number of people filing for unemployment benefits hit a seven-year high and there was a steep drop in factory orders in August, signalling an "almost a perfect storm", according to one broker.
The leaders took the hit in the New Zealand market with Contact down 27c to 761 and Fletcher Building down 37c to 683.
Telecom fell 6c to 289.
Fisher & Paykel Healthcare lost 3c to 302. GPG fell 7c to 123 and Tower eased 7c to 178.
SkyCity was down 13c at 358. Auckland Airport fell 5c to 202. Infratil eased 1c to 206. Pumpkin Patch fell 3c to 130.
NZ Farming Systems Uruguay fell 10c to 120 and PGG Wrightson fell 14c to 171.
APN shares fell 8.25 per cent to 367.
T here were just 20 rises on the market and 72 falls and turnover was worth $93.86m.
The Dow Jones industrial average fell 348.22 points, or 3.22 per cent, to 10,482.85, while the Standard & Poor's 500 Index slid 46.78 points, or 4.03 per cent, to 1114.28. The Nasdaq Composite Index dropped 92.68 points, or 4.48 per cent, to 1976.72.
Since the beginning of the year, the Dow has lost 21 per cent, while the S&P 500 has dropped 24 per cent and the Nasdaq has fallen 25 per cent.
Declining stocks outnumbered advancing ones by about five to one on both the NYSE and on Nasdaq.
- NZPA
