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Traders work on the floor of the New York Stock Exchange, Monday, Dec. 1, 2008. (AP Photo/Richard Drew)

Dow drops nearly 680 on consumer spending worries

7 minutes ago

NEW YORK - The reality that the nation is indeed in recession and that the downturn may well be prolonged sent Wall Street plunging Monday, hurtling the Dow Jones industrials down nearly 700 points and wiping out more than half of last week's big gains. All the major indicators fell more than 7 percent, with the Standard & Poor's 500 index down nearly 9 percent.

  • President-elect Barack Obama, left, stands with Secretary of State-designate Sen. Hillary Rodham Clinton, D-N.Y., center, and National Security Adviser-designate Ret. Marine Gen. James Jones, right, at a news conference in Chicago, Dec. 1, 2008. (AP Photo/Pablo Martinez Monsivais)
    Obama announces Clinton, Gates for Cabinet 24 minutes ago

    CHICAGO - President-elect Barack Obama picked a national security team headed by former campaign rival Hillary Rodham Clinton and Bush administration holdover Robert Gates on Monday, and said he wants to consult with military commanders before settling on a firm timetable to withdraw U.S. combat troops from Iraq.

  • A sale sign is posted at jewlery store in Daly City, Calif., Monday, Nov. 24, 2008. The economy took a tumble in the summer that was worse than first thought as American consumers throttled back their spending by the most in 28 years, further proof the country is almost certainly in the throes of a painful recession. (AP Photo/Paul Sakuma)
    Panel says US has been in recession since Dec. '07 51 minutes ago

    WASHINGTON - The U.S. economy has been in a recession since December 2007, the National Bureau of Economic Research said Monday. The NBER — a private, nonprofit research organization — said its group of academic economists who determine business cycles met and decided that the U.S. recession began last December.

  • Tape covers bullet holes in the windows of the newly-reopened Refresh Cafe in the landmark Chhatrapati Shivaji Terminus train station, in Mumbai, India, Monday Dec. 1, 2008.  This scarred and traumatized city struggled back to its feet Monday, reopening schools and businesses, as residents tried to come to terms with the string of terror attacks that brought bloodshed to the heart of Mumbai. The owner of the cafe said he had little choice but to reopen the fast food restaurant in the station, even though its glass wall is scarred with bullet holes, half his staff refused to come back and his brother is on a ventilator in the intensive care unit after being shot in the abdomen by the attackers. (AP Photo/Lefteris Pitarakis)
    India demands strong action from Pakistan 1 hour, 12 minutes ago

    MUMBAI, India - India demanded Monday that Pakistan take "strong action" against those behind the deadly Mumbai attacks, and Washington pressured Islamabad to cooperate with the investigation.

  • President George W. Bush speaks as he participates in the Saddleback Civil Forum on Global Health, Monday, Dec. 1, 2008, at the Newseum in Washington.  (AP Photo/Ron Edmonds)
    Bush uses final 50 days in office to tout legacy 3 minutes ago

    WASHINGTON - President George W. Bush says history will judge him, but he is getting his own crack first. Bush is using his final 50 days in office to tout his legacy, hoping to leave a lasting impression of overshadowed progress. On Monday, World AIDS Day, Bush was heralded for his leadership in fighting the disease, a point that even his Democratic critics readily concede.

  • In this photo released by KATV Television, news anchor Anne Pressly, is shown in a June 26, 2008, photo in Little Rock, Ark.  Pressly died Oct. 25, 2008 as a result of an Oct. 20 attack, and Little Rock Police named a suspect in the case Wednesday, Nov. 26, 2008. (AP Photo/KATV Television)
    Parents: Slain anchorwoman was sexually assaulted 43 minutes ago

    LITTLE ROCK, Ark. - The parents of the television anchorwoman who was beaten to death said Monday there is evidence their daughter also was sexually assaulted, and that she broke her hand fighting her attacker. Five days after a suspect was arrested in the Oct. 20 beating of KATV anchorwoman Anne Pressly, Guy and Patti Cannady said on NBC's "Today" that the family still has many questions about the killing.

  • Alaska Gov. Sarah Palin, center, waves to a crowd during a campaign stop for U.S. Sen. Saxby Chambliss, R-Ga, Monday, Dec. 1, 2008 in Savannah, Ga. Chambliss and Democratic challenger Jim Martin are   in a Tuesday runoff that will shape Democrats' hold on power in Washington. (AP Photo/Stephen Morton)
    Palin implores Ga. Republicans to back Chambliss 1 hour, 20 minutes ago

    AUGUSTA, Ga. - Alaska Gov. Sarah Palin urged Georgia voters to back Sen. Saxby Chambliss in Tuesday's runoff in an election eve appeal that underscored her popularity within the Republican Party and the GOP's efforts to stave off erosion of its shrinking Senate numbers.

  • 1 in 5 young adults has personality disorder 49 minutes ago

    CHICAGO - Almost one in five young American adults has a personality disorder that interferes with everyday life, and even more abuse alcohol or drugs, researchers reported Monday in the most extensive study of its kind.

  • Man says God ordered him to ram vehicle at 100 mph 2 hours, 11 minutes ago

    SAN ANTONIO - A man who rammed his truck into a woman's vehicle on a highway early Friday told authorities he crashed into her while going more than 100 mph because God told him "she needed to be taken off the road."

  • New York Giants' Plaxico Burress, right, arrives at Manhattan Supreme Court for arraignment with an unidentified man on Monday, Dec. 1, 2008 in New York. Burress accidentally shot himself at a Manhattan nightclub Friday evening and was treated at NewYork-Presbyterian Hospital/Weill Cornell Medical Center. He was released Saturday.  (AP Photo/David Karp)
    Police investigating hospital in Burress shooting 1 hour, 37 minutes ago

    NEW YORK - Plaxico Burress was led out of a police precinct in handcuffs Monday after surrendering on a weapons possession charge, and authorities said that teammate Antonio Pierce is being investigated over his role in an accidental shooting at a Manhattan nightclub.

  • U.S. Secretary of State Condoleezza Rice smiles during a press conference with  Britain's Foreign Secretary David Miliband after their meeting  in London, Monday, Dec. 1, 2008. President-elect  Barack Obama  announced Monday that Hillary Rodham Clinton  will be the next Secretary of State. (AP Photo/Akira Suemori)
    Rice says she won't give Clinton too much advice 1 hour, 3 minutes ago

    LONDON - Happily contemplating another woman as the top U.S. diplomat, Secretary of State Condoleezza Rice said Monday she will offer advice, privately, and then get out of the way.

  • In this Oct. 29, 2007 file photo, socialite Ivana Trump and Rossano Rubicondi attend the 2007 G&P Foundation 10th Annual Angel Ball in New York. (AP Photo/Evan Agostini, file)
    Ivana Trump separates from fourth hubby Rubicondi 1 hour, 58 minutes ago

    NEW YORK - Ivana Trump has issued a statement confirming reports of marital discord with Italian entrepreneur Rossano Rubicondi. Trump, who married Rubicondi in April, says she filed a legal separation agreement three months ago. Trump says she kept quiet about it because she didn't want to ruin Rubicondi's chances as a contestant on the Italian edition of the reality TV show "Survivor."

  • Depression leads to internal fat in 70-somethings 1 hour, 15 minutes ago

    CHICAGO - Older people who are depressed are much more likely to develop a dangerous type of internal body fat — the kind that can lead to diabetes and heart disease — than people who are not depressed, a disturbing new study found.

  • A man holds an inhaler. One-third of Canadians with asthma have likely been wrongly diagnosed by their doctor, said a study Tuesday that blames an explosion of asthma cases in developed countries on lack of proper testing.(AFP/Getty Images/File/Spencer Platt)
    Asthma inhalers to go 'green' on Dec. 31 1 hour, 57 minutes ago

    WASHINGTON - Last warning: Asthma inhalers go "green" on Dec. 31, forcing patients still using the old-fashioned kind to make a pricey and even confusing switch. The medicine inside these rescue inhalers — the albuterol that quickly opens airways during an asthma attack — isn't changing. But the chemicals used to puff that drug into your lungs are.

  • U.S. Army soldiers from Alpha Company, 1st Battalion, 5th Infantry Regiment pray before heading out on patrol in Baqouba, , 35 miles (60 kilometers) northeast of Baghdad, Iraq on Sunday, Nov. 30, 2008. (AP Photo/Maya Alleruzzo)
    Obama still looks for Iraq pullout in 16 months Mon Dec 1, 11:39 AM ET

    CHICAGO - Barack Obama says the U.S.-Iraq security agreement approved by Iraq's parliament puts the U.S. on a "glide path" toward reducing forces there.

  • Federal Reserve Chairman Ben Bernanke speaks at the annual Economic Forecast Event at the Austin Chamber of Commerce in Austin, Texas. Bernanke said Monday the current economic situation bears "no comparison" to the much deeper crisis of the 1930s Great Depression.(AFP/Getty Images/Ben Sklar)
    Bernanke: lower interest rates are "feasible" 9 minutes ago

    WASHINGTON - Federal Reserve Chairman Ben Bernanke said Monday that further interest-rate cuts are "certainly feasible," but he warned there are limits to how much such action would revive an economy likely to stay weak well into next year.

  • Miami-Dade police officers stand in front of a store at Dadeland Mall in Miami, Monday, Dec. 1, 2008. Miami-Dade Fire Rescue spokesman Lt. Eddy Ballester says one person was transported to the hospital by helicopter with reported gunshot wounds. (AP Photo/Alan Diaz)
    Armored truck guard dies in Miami mall shooting 1 hour, 8 minutes ago

    MIAMI - An armored truck guard was shot to death at a suburban Miami mall Monday, and police were searching for two gunmen.

  • Shoppers are reflected as they enter the Nike Store on Chicago's Magnificent Mile Saturday, Nov. 29, 2008. (AP Photo/Charles Rex Arbogast)
    Retailers offer deals, discounts on 'Cyber Monday' 38 minutes ago

    NEW YORK - Retailers who saw Thanksgiving holiday sales drop off as the weekend progressed stepped up online promotions on the day known as "Cyber Monday" to try to get consumers tired of the crowds at stores to keep shopping.

  • Sending spam in Israel could mean a big fine Mon Dec 1, 10:44 AM ET

    JERUSALEM - Israel has gotten fed up with spam. Anyone who sends out messages without receiving the recipient's consent can now be slapped with a big fine.

  • In this April 22, 2008 file photo Tina Fey makes an appearance on MTV's Total Request Live at MTV Studios  in New York.  (AP Photo/Evan Agostini, file)
    Tina Fey's husband talks about her facial scar Mon Dec 1, 10:10 AM ET

    NEW YORK - Tina Fey's husband is talking about something the "30 Rock" actress would rather not discuss: the scar on her left cheek.

  • Speaker of the House Nancy Pelosi, D-Calif., listens to National Governors Association chairman Pennsylvania  Gov. Ed Rendell, second from right, during a meeting with National Governors Association vice chairman Vermont Gov. Jim Douglas, left, and Rep. George Miller, D-Calif., right,  on Capitol Hill in Washington, Monday, Dec. 1,  2008. (AP Photo/Susan Walsh)
    Governors press for stimulus bill by Inauguration 32 minutes ago

    WASHINGTON - Facing severe cutbacks in state services as the recession deepens, the nation's governors pressed their case on Capitol Hill Monday, asking for at least $40 billion to help pay for health care for the poor and disabled.

  • In this Nov. 20, 2008 file photo, Reese Witherspoon, a cast member in 'Four Christmases,' poses on the red carpet at the premiere of the film in Los Angeles. (AP Photo/Chris Pizzello, file)
    'Four Christmases' finds $31.7M in holiday cheer Mon Dec 1, 1:54 PM ET

    LOS ANGELES - Thanksgiving weekend movie crowds gobbled up the Reese Witherspoon and Vince Vaughn holiday comedy "Four Christmases," which debuted at No. 1 with $31.7 million, according to studio estimates Sunday.

  • Manufacturing index drops to 26-year low 26 minutes ago

    WASHINGTON - A gauge of U.S. manufacturing activity that fell to a 26-year low Monday followed similarly weak readings in Europe and China, fueling fears of a deepening global downturn.

  • Birmingham Mayor Larry P. Langford in an undated photo. (Handout/Reuters)
    Feds arrest Birmingham mayor on bribery charges 2 hours, 46 minutes ago

    BIRMINGHAM, Ala. - The mayor of Alabama's largest city, Larry Langford, was arrested Monday on charges of steering millions of dollars of bond work to a friend in exchange for more than $230,000 in bribes that paid his debts for flashy clothes, jewelry and Rolex watches.

  • A man injured in a twin bombing near the entrance to a police academy is transported out of the emergency room at a hospital in Baghdad, Iraq, Monday, Dec. 1, 2008. At least 16 people were killed and 46 wounded in a nearly simultaneous double bombing near a police academy in eastern Baghdad. A suicide attacker detonated his explosives vest packed with ball-bearings at the entrance to the academy, then a car bomb exploded about 150 yards (137 meters) away, apparently aimed at those responding to the initial blast, the U.S. military said. (AP Photo/Karim Kadim)
    Iraq: Bombs kill more than 30 in Baghdad, Mosul 2 hours, 17 minutes ago

    BAGHDAD - A suicide bombing tore through a line of recruits waiting to enter a police academy as multiple blasts struck Iraqi security forces Monday, killing at least 33 people and wounding dozens including four U.S. soldiers and an Iraqi general.

  • Former Detroit mayoral aide Christine Beatty  pauses while tearfully  reading statements admitting to two felony charges agreed upon in plea deal in the city's text-messaging sex scandal  in Judge Timothy Kenny's courtroom at the Frank Murphy Hall of Justice in Detroit on Monday, Dec. 1, 2008.  Under a deal with prosecutors, Beatty pleaded guilty to obstruction of justice and agreed to four months in jail, five years of probation and $100,000 in restitution to the city.  (AP Photo/Daniel Mears / The Detroit News)
    Ex-mayoral aide pleads guilty in Detroit scandal 1 hour, 6 minutes ago

    DETROIT - Stoic and publicly silent through months of a sex scandal, the woman whose relationship with former Mayor Kwame Kilpatrick led to his downfall broke her silence Monday, shedding tears as she pleaded guilty.

  • In Nov. 8, 2008 file photo U.S. Secretary of State Condoleezza Rice listens to a question during a news conference in  the West Bank town of Jenin,   President George W. Bush on Sunday, Nov. 30, 2008 dispatched Secretary of State Condoleezza Rice to New Delhi in support of India following the terrorist attacks that killed nearly 200 people, including six Americans.  (AP Photo/Mohammed Ballas/file)
    US tells Pakistan to cooperate in India probe Mon Dec 1, 10:07 AM ET

    LONDON - The United States has told Pakistan it expects complete cooperation in investigations into the terrorist rampage in nuclear rival India, Secretary of State Condoleezza Rice said Monday, saying the civilized world must unite against this menace.

  • In this Sept. 26, 2008 file photo, a woman passes a branch entrance near the headquarters of Washington Mutual Inc., in downtown Seattle. WaMu, one of the nation's largest banks, was seized by the Federal Deposit Insurance Corp. Thursday, and then sold to JPMorgan Chase & Co. (AP Photo/Ted S. Warren, File)
    AP IMPACT: They warned us, but US eased loan rules 59 minutes ago

    WASHINGTON - The Bush administration backed off proposed crackdowns on no-money-down, interest-only mortgages years before the economy collapsed, buckling to pressure from some of the same banks that have now failed. It ignored remarkably prescient warnings that foretold the financial meltdown, according to an Associated Press review of regulatory documents.

  • Fuel-cell powered devices getting closer Mon Dec 1, 7:20 AM ET

    SIOUX FALLS, S.D. - Laptop, cell phone and iPod owners tired of having their devices run out of charge after a few hours have been patiently waiting for the next portable power source to arrive.