Stock Market News
DOW drops 146 points sparked by Subprime FearsThe Wall Street rally was stopped in its tracks by American Home Mortgage and renewed worries about subprime mortgages. The major indexes fell off sharply the DOW finishing down 146 points the Nasdaq down 37 and the S&P down 18.
The main factor behind the fall was an announcement from subprime lender American Home Mortgage (AHM), saying that it is unable to borrow on its credit facilities or access its warehouse financing agreements to fund its obligations. The news served to further fuel concerns over subprime mortgages and the possibility of the troubles extending into wider credit market.