The benchmark Dow Jones Industrial Average gave up 325 points in opening this afternoon, or 2.6 per cent, in line with pre-bell futures trading, which had absorbed a weekend of historic bad news. American International Group, the troubled insurer, was the biggest loser, giving up 51 per cent in the first minutes of trade. The tech-heavy Nasdaq faired slightly better, losing 1.8 per cent in opening. The S&P500, the broadest gauge of US stocks, lost around 2.8 per cent, or 35 points, in opening.
Confirmation that Lehman Brothers would file for bankruptcy, and Merryl Lynch had found a buyer provided the negative impetus in New York. *The National staff
