Dow drops below 8,000

More bad economic news and profit declines further demoralised investors today, sending the Dow Jones industrials down 230 points and to their first close below 8,000 in nearly two months.

The Dow closed down 230.06, or 2.8%, at 7,942.39. The index last traded below 8,000 on August 5, but had not closed below that level since hitting its July 23 low of 7,702.34.