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8A – Daily News – Thursday, August 12, 2010 MON.-FRI. 9:00-5:30 • SAT. 9:00 -5:00 • CLOSED SUNDAYS FURNITURE DEPOT MATTRESS NEW YORK (AP) — Stocks and interest rates tumbled Wednesday as investors around the world took a bleaker view of the U.S. economy. MON.-THURS. 9:00-6:00 • FRI. 9:00-7:00 • SAT. 9:00-5:00 • SUN. 11:00-5:00 NORTH VALLEY 235 So. Main St., Red Bluff 527-1657 632 Main St., Red Bluff 527-5837 The Dow Jones industri- al average fell 265 points, its biggest drop in six weeks, and all the major indexes fell more than 2 percent. The yield on the Treasury’s 10-year note fell to its lowest level since March 2009 as investors worried about the economy and avoiding stocks sought the safety of government Mattress Sets & Adjustable Bed Stocks fall sharply as investors’ gloom grows Wall Street securities. Companies across a wide range of industries dropped Wednesday. Only 442 stocks rose on the New York Stock Exchange, while 2,627 fell, a sign that investors expect all busi- nesses to suffer if the econ- omy continues to weaken. Investors’ gloom deep- ened a day after the Federal Reserve said it would begin buying government bonds as a way to stimulate the economy. News of slower industrial growth in China and a disappointing eco- nomic indicator in Japan helped send stocks plunging first in Asia, then in Europe and the U.S. Investors got more bad news after trading ended in the U.S. Cisco Systems Inc.’s revenue in the compa- ny’s latest quarter fell short of analysts’ expectations. Companies’ revenue short- falls have sent stocks falling over the past month, and Cisco’s stock was down sharply in after-hours trad- ing. Its report could touch off more selling on Thurs- day. Stock traders tend to buy and sell based on their expectations for what busi- ness will be like in six to nine months. The problem for investors is that econom- ic data has been so muddled lately that they have no sense of whether the recov- ery will hold. ‘‘Uncertainty, uncertain- ty, uncertainty,’’ was the way that Javier Perez-San- talla, managing director for futures and foreign exchange at the institutional brokerage firm Dinosaur Group, described the mood in the market. ‘‘Everyone is scratching their heads, saying ’which way?’’’ Perez-Santalla said. ‘‘We’re kind of stuck in this no man’s land, where we’re damned if we do, damned if we don’t.’’ The Fed said Tuesday it will start buying govern- ment bonds with money it gets from the maturing mortgage-backed bonds that it bought during the recession. The goal is to try to cut interest rates on mort- gages and corporate loans and increase lending to help the economy grow faster. But the Fed’s moves were expected to be quite small in comparison to what the economy needs. And many investors were selling because the debt purchases would have only a limited impact on the economy. According to prelimi- nary calculations, the Dow dropped 265.42, or 2.5 per- cent, to 10,378.83, its largest slide since it fell 268.22 on June 29. The Standard & Poor’s 500 index fell 31.59, or 2.8 percent, to 1,089.47. The S&P 500 slipped below 1,100, a key psychological level. Falling and holding below that level could lead to more selling as comput- er-driven trading sets in. The Nasdaq composite index fell 68.54, or 3 per- cent, to 2,208.63. FREE pillows • FREE delivery • FREE disposal With purchase of Tempurpedic mattress sets only. Mon.-Fri. 10:30 to 5:30 Sat. 11-3 40 Crafters in 1 Shop! 650 Main St., Red Bluff 530 528-2723 Barber Shop $ Cheers Recently expanded and moved near Bidwell Elementary License # 525405817 (530) My qualifications include: B.A. in Elementary Education and experience teaching grades K-8. Accepting state pay programs & cash pay, etc. 209-8743 600 Open 6 days 570-2304 259 S. Main St. Tractor Supply Center Senior Cuts Come & Shop Crafter’s Boutique Or Rent a Space to Sell Your Crafts Gifts for family & friends Plenty of parking on Pine Street ●●●●●●●●●●●●●●●●●●●