US stocks plunge

Fears over a lack of job growth and a sluggish US economy sent stocks sharply lower today, with the Nasdaq composite index wiping out its gains for all of 2004 and the Dow Jones industrial average nearly following suit.

With the first quarter ending this month, companies such as Nike and Texas Instruments have issued surprisingly strong earnings outlooks. But with job creation stagnant and some analysts believing stocks are overpriced, investors feared the market’s year-long rally might have ended.