Dow off its lows
Rally in JPMorgan Chase partly offsets losses after investment bank buys Bear Stearns for $2 a share.
NEW YORK (CNNMoney.com) -- U.S. stocks were down, but off their lows, as JPMorgan Chase shares rallied on the low price it paid to buy out troubled Bear Stearns.
The Dow Jones industrial average lost 107 points, or 0.9%. The Nasdaq composite index tumbled 1.6%. The Standard & Poor's 500 index lost 1.5%.
Bear Stearns shares fell $26.26 to $3.74. JP Morgan Chase rose $3.10 to $39.64.
In the news Monday:
Bear Stearns: JPMorgan Chase & Co. (JPM, Fortune 500) said Sunday that it would acquire the troubled Wall Street firm for a mere fraction of what it was once worth amid deepening fears about further erosion of the world's financial markets. Stock (BSC, Fortune 500)
Lehman Brothers: Shares of the brokerage firm slid 15% in early trading after the firm said it's got enough cash to keep doing business. The firm made the statement after a big Asian bank asked traders not to do new transactions with Lehman, The Wall Street Journal reported. Stock (LEH, Fortune 500)
Federal Reserve: In an extraordinary weekend move, the central bank took bold action Sunday evening to provide cash to financially squeezed Wall Street investment houses, a fresh effort to prevent a spreading credit crisis from sinking the U.S. economy.
Dollar: The currency nose-dived to its lowest levels in 12-1/2 years Monday in Asia, falling below ¥96 as the Federal Reserve's rate cut failed to calm market fears about more U.S. bank writedowns.
Citigroup: The financial services firm said Monday it appointed John Havens chief executive of its investment banking division, effective immediately. Stock (C, Fortune 500)
-- from staff and wire reports 
-
Business owners are growing their sales by swapping everything from boats to lingerie. More -
President Obama's plan would give small banks access to capital, but they are wary of TARP traps. More -
Minimum wage to $20 an hour. That's what Sally Delk hopes for with a job at the nuclear power plant. More
