US stocks take major hit

Wall Street slid as downbeat news from JPMorgan Chase & Co and other financial companies has increased the market's nervousness about the continuing impact of the credit crisis on the economy.

JPMorgan said late yesterday in a regulatory filing it lost $1.5bn (€1bn), after hedges, in its mortgage-backed securities and loans this quarter.

Meanwhile, Goldman Sachs Group fell after several analysts lowered their ratings and earnings estimates for the investment bank. And UBS AG, Switzerland's largest bank, reported further losses and write-downs of $5.1bn(€3.4bn) during the second quarter.

According to preliminary calculations, the Dow fell 139.88, or 1.19%, to 11,642.47.

The Standard & Poor's 500 index fell 15.73, or 1.21%, to 1,289.59, and the Nasdaq composite index fell 9.34, or 0.38%, to 2,430.61.