Even the new law couldn't stop US stocks from sliding. Investors around the world are betting the global recession may just have to run its course. The Dow Jones industrial average fell nearly 4 percent on Tuesday. The Standard & Poor's 500 Index gave up over 4 and a half percent and the Nasdaq, too, over lost 4 percent.

Even the new law couldn't stop US stocks from sliding. Investors around the world are betting the global recession may just have to run its course.[Xinhua]

Wall Street's slide pulled the S&P 500 and Dow to their lowest levels since November, when stocks hit 11-year lows. The Dow has fallen 14 percent since the start of the year. Adding to fears was a report showing that manufacturing production in New York state has fallen to a record low. Financial stocks sank to 14-year lows while energy shares slid alongside oil. General Motors shares also shed nearly 13 percent. Both GM and Chrysler are preparing to submit a survival plan under the terms of the 17.4 dollar billion government bailout that has kept the automakers afloat.

Sam Stovall, chief investment strategist of Standard and Poor's, says, "well I think that investors are still concerned about the banking situation and what is going to be down with the toxic assets. Also because of news about the Japanese economy slipping deeper into recession emerging nations having their economic problems as well as Russia. It's causing investors to think that there's going to be additional problems here in the US and so as a result I think we are at least re-testing the late November lows."

(CCTV February 19, 2009)