US Stock market plummets

US stocks plummeted at the close of business on the first trading day since Standard & Poor’s downgraded American debt.

The Dow Jones closed down 634 points, or 5.5%, at 10,809 – the first time it has fallen below 11,000 since November and its biggest one-day point drop since December 2008.

The S&P 500 is closing down 79, or 6.7%, at 1,119.46.

The Nasdaq is down 174.72, or 6.9%, at 2,357.69.

Investors are worried about the slowing US economy and escalating debt problems threatening Europe.

Money flowed out of stocks and into safer investments, including gold.