Business
March madness
March madness
About this update from Genesis Ai Corp
[{"type":"text","content":"\nMarch madness\n\nBad news grips markets\n Mar. 2, 2009 (Baystreet.ca) -- 10:30 am EST\nThe Toronto stock market is down amid data showing a large drop in Canadian economic growth in the fourth quarter, while financials retreated following a record-breaking quarterly loss at insurer American International Group.The S&P/TSX Composite Index provided a harbinger of things to come early Monday, unloading 192.09 points to open at 7,930.93, as investors digested less than palatable economic figures from Statistics Canada. The Canadian economy contracted at an annualized rate of 3.4% in the fourth quarter, compared with a 6.2% decline in the U.S. economy during the same period, according to data released by Stats Canada Monday.Economists were expecting quarterly GDP to plunge 3.6%. Real GDP declined 0.8% in the fourth quarter, weakening progressively each month. This was the sharpest quarterly decline since 1991. Declines in exports, capital investment and personal expenditures all contributed to the economic contraction. Final domestic demand fell 1.2%. Government current and capital expenditure rose. GDP growth for the year was positive at 0.5%, a sharp deceleration from 2.7% in 2007.\nOn the earnings front, traders will take in quarterly results from embattled Nortel Networks, Pengrowth Energy Trust, and Vermillion Energy Trust.Looking ahead, on Tuesday the Bank of Canada will make its latest interest rate announcement. Economists expect the central bank to slash its key overnight rate to 0.5% from 1%.The Canadian dollar was off 0.58 cents to 77.73 cents U.S., BAYSTREET\n \nAll 13 TSX sub-groups began the day negative, metals and mining was off 3.9%, energy stocks were down 3.4% and financials were 3.2% to the bad. The TSX Venture Exchange was down 0.17 points to 861.46, while the Nasdaq Canada index fell 9.68 points to 400.88. ON WALLSTREETThe Dow Jones industrials index began the day, week and month on the wrong foot, trailing Friday's close by 132.93 points at 6,930The Standard & Poor's 500 index retreated 14.88 points, at 720.21, the NASDAQ composite index lost 18.61 points to 1,359.23Financial stocks are back in the spotlight after AIG, once the world's largest insurer, said it lost $61.7 billion U.S. in the fourth quarter, the biggest quarterly loss in U.S. corporate history. The company blamed "severe credit mar...