MSM: U.S. Economy- Factory Output, Housing Starts Plunge

Manufacturing and housing in the U.S. collapsed in January, government reports showed, as the Obama administration unveiled new proposals to stem what may become the worst recession in the postwar era.

MSM: Retail sales fall by record amount in October

WASHINGTON – Retail sales plunged by the largest amount on record in October as the financial crisis and the slumping economy caused consumers to sharply cut back on their spending.

The Commerce Department said Friday that retail sales fell by 2.8 percent last month, surpassing the old mark of a 2.65 percent drop in November 2001 in the wake of the terrorist attacks that year.

Market May Drop 50% from Top

Market experts say stocks could continue falling until they’ve lost half the value from their peak in last year’s bubble heyday – meaning the bottom might be a Dow Jones industrial average at 7,000.

A new economic report yesterday supported such a steep downward spiral by showing a sudden slowdown could hit by Thanksgiving, based on an unexpected doubling of wholesale stockpiles of everything from petroleum and clothing to electronics and cars.