Oil's retreat not enough to sustain US stock rally

Wall Street succumbed to its continuing angst today, giving up a sharp advance and turning moderately lower after falling oil prices failed to calm the market’s nervousness about the economy and the financial sector.

The Dow Jones industrial average initially surged by nearly 250 points as oil prices dropped as low as 105.46 dollars a barrel on reports that the Gulf Coast and its oil facilities were spared heavy damage from Hurricane Gustav.