Dow Unanimously Down Early Thursday

U.S. and global economic worries had the Dow Jones Industrial Average off more
than 475 points, plunging lower more than 4% from the opening bell to below
10,933. German industrials were off, sending markets around the globe in a
downward spiral, led by financials and industrials. Its becoming more apparent
to investors that growth strategies to date have not worked, despite earnings
for the second quarter of 2011 increasing by a record percentage. For the year,
the Dow Jones Industrial Average is down more than 5.2%. Not a single Dow stock
was up in mid-morning trading. Crashing by more than 7.25% down at the opening
was Bank of America (NYSE: BAC ), losing more than 55 cents per share to under
$6.85. The PR offensive of Bank of America has not gone well. Claims that it did
not have to raise capital have been contradicted by sales of real estate assets
and credit card operations. The recent disclosure that John Paulson was reducing
his holdings also increased the downward pressure, along with news this morning
that Bank of America could be liable for another $9 billion in mortgage costs in
a lawsuit. The beta for Bank of America is now 2.23, with the overall market at
a 1. With the whole financial sector down for the day and for the year , JP
Morgan (NYSE: JPM ) was off around 5%, more than $1.80, to beneath $34.75. JP
Morgan has mortgage woes bedeviling it from its Washington Mutual acquisition in
2008. The financial sector is the worst-performing segment of the Dow in 2011,
and JP Morgan is down more than 16% for the quarter. Concerns about demand for
its heavy equipment falling because of slower global economic growth was plowing
under Caterpillar (NYSE: CAT ), which was down more than $5.50 per share to
trade below $82, shedding more than 6%. Caterpillar filed its 8K this morning,
which did nothing to restore investor confidence. The Big Cat is down more than
20% for the month and has a beta of 1.72. The tech sector also was in full
flight, with Microsoft (NASDAQ: MSFT ) down by more than a dollar, about 4%, to
around $24 per share. Microsoft is up for the week and the quarter with
favorable research out this morning, but the rout in the Dow is a "Full
Monty." Even Microsoft now has a beta above 1. Boeing (NYSE: BA ) crash-landed
at the opening, descending by more than $4 per share to under $58.50, losing
more than 6%. Boeing is facing competition from foreign aircraft makers, which
are threatening its lock on domestic sales in the U.S. The debt ceiling
agreement will force massive cuts in Pentagon spending, which also will harm
Boeing. A global recession will further cut demand for its airplanes. Boeing is
now down about 20% for the quarter. Big Oil was also being pumped lower on
growth fears, with Chevron (NYSE: CVX ) off about $5, down more than 5% to under
$92.80. Chevron is up more than 8% for the week and has been upgraded twice in
August. Jonathan Yates does not own any of the stocks mentioned in this article.