Downgrade of the U.S. debt having costly effects
NATIONAL (FOX44) - We're seeing the first real, and costly, effects of the downgrade of U.S. debt.
The selling pressure intensified on Wall Street.
A downgrade of the U.S. government's debt by ratings firm standard and poor's over the weekend sent the markets free falling at the opening bell.
The composite volume on the New York Stock Exchange surpassed those of may seventh of last year, the day after the infamous flash crash.
The DOW dropped six hundred thirty five points to close below the 11-thousand mark for the first time since October, 19th 2010.
Markets open for the first time since S&P downgraded the U.S.'s prestigious triple a credit rating for the first time in history.
The DOW opened sharply lower, and plunged 300 points in the first hour.
Things got worse, the credit ratings of Fannie Mae and Freddie Mac also downgraded.
President Obama calls the political fiasco leading up to the debt deal partially to blame for the downgrade.
S & P says DC's deep political divide is part of the reason it issued the downgrade. It also doesn't think last week's debt ceiling deal contained enough spending cuts.