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Article: Wall Street's big blues. (Dow Jones industrial average falls on news of disappointing earnings from International Business Machines)
- Article from:
- U.S. News & World Report
- Article date:
- April 1, 1991
CopyrightCOPYRIGHT 1991 All rights reserved. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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A bull market that moved up too far too fast: That was the diagnosis of most analysts last week following the abrupt halt to the stock market's Iraq war rally. A dose of reality, in the form of a stunningly disappointing first-quarter-earnings projection from IBM, made investors shudder and caused the Dow Jones industrial average to close well below the still elusive record of 3000.
The news that Big Blue's first-quarter net income would be only about half of what Wall Street analysts had been estimating dropped the giant computer company's widely held stock 10 percent and took the Dow down by more than 62 points. Earnings shock caused investors to race back ...