Liz Swain 4:24 p.m., May 24
U.S. Market Recovers Most of Loss; Wall Street Expects More Juice from Fed
The Federal Reserve sliced interest rates by 3/4ths of 1% before the opening this morning, but U.S. stocks initially plunged, following two days of mayhem in Asia and Europe. The Dow Jones was down as much as 465 points after the opening, but closed down 128.11, or 1.1%. The Standard & Poor's 500 was also down 1.1%, but Nasdaq was down 2%. After the close, Apple reported that first quarter earnings were up 58% from a year ago, but the company gave a so-so forecast for the second quarter and the stock plunged 13% in after-hours trading. That may cast a pall on tomorrow's opening. The market expects another interest rate cut from the Fed, which is now dancing to Wall Street's tune, as it did under former Chairman Alan Greenspan.