Wall Street rebounds after huge sell-off _English

Special Report: Global Financial Crisis

Traders work on the floor of the New York Stock Exchange, Dec. 2, 2008. U.S. stocks extended gains on Tuesday, sending the Dow and S&P 500 up more than 2 percent as investors grew optimistic about a rescue for the U.S. auto industry. (Xinhua/Reuters Photo)
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NEW YORK, Dec. 2 (Xinhua) -- Wall Street rebounded Tuesday from the worst tumble since October, as investors bought on dips after Monday's huge sell-off and as Ford reassured the market with its financial health.

Some bargain hunting is not a surprise Tuesday after the skid that sent the Dow Jones industrials down 679.95 points on Monday.

Ford Motor said it will seek nine billion U.S. dollars in government loans but may not need the money because it plans to return to a pretax profit or break even in 2001. As investor closely watched the future of automakers, Ford's assessment of its financial health helped the market bounce back strongly.

The U.S. three auto giants are scheduled to testify before the U.S. Congress Thursday and Friday, after they submit their business plan update Tuesday. General Motors, Ford and Chrysler are seeking 25 billion U.S. dollars financial support from the U.S. government.

Financial sector bounced despite a report in The Wall Street Journal said that Goldman Sachs Group Inc. could face losses of about 2 billion U.S. dollars in the fiscal fourth quarter.

The Dow Jones rose 270.00, or 3.31 percent, to 8,419.09. The Standard & Poor's 500 index rose 32.60, or 3.99 percent, to 848.81,while the Nasdaq composite index gained 51.73, or 3.70 percent, to1,449.80.

Wall Street plunges amid economic woes

NEW YORK, Dec. 1 (Xinhua) -- Wall Street plunged amid economic woes Monday as investors cashed in some of their gains from the big rally in the previous week and key economic reports showed economic slowdown.

Retail sales data failed to boost the market. According to preliminary calculation by RCT Shopper Trak, a research firm that tracks total retail sales at more than 50,000 outlets, sales rose slightly on Black Friday, which is traditionally one of the biggest shopping days of the year, showing that consumers are cautious as the economy slows down. Full story

Official panel: U.S. economy in recession since December, 2007

WASHINGTON, Dec. 1 (Xinhua) -- U.S. economy has been in a recession since December 2007, the National Bureau of Economic Research (NBER) said Monday.

The Business Cycle Dating committee of the NBER, a private, nonprofit research organization, said its members met by conference call on Friday.

And the committee "identified December 2007 as the peak month, after determining that the subsequent decline in economic activity was large enough to qualify as a recession." Full story

Plummeting auto sales contribute to budget shortfalls across U.S.

LOS ANGELES, Dec. 1 (Xinhua) -- As the U.S. auto market marches toward its worst year in decades and dealers close in droves, state and local governments across the country are preparing for serious belt-tightening.

Sales of new and used cars, as well as parts and service, are the single largest source of sales tax revenue for almost every state, county and local government, but those figures were down substantially these days, according to a Los Angeles Times report Monday. Full story

U.S. manufacturing sector contracts for 4th straight month

WASHINGTON, Dec. 1 (Xinhua) -- Economic activity in the U.S. manufacturing sector failed to grow in November for the fourth consecutive month, while the overall economy contracted for the second straight month, the Institute for Supply Management (ISM) reported on Monday.

The ISM, a trade group based in Tempe, Arizona, said its manufacturing index, which reflects the opinions of purchasing managers at factories, plants and utilities, registered 36.2 last month, down from 38.9 in October and lower than analysts' expectations of 38.4. Full story