Bad Economic News Sends Markets Plummeting

The Takeaway

Stocks plummeted Wednesday after reports that the U.S. factory sector experienced its biggest one-month drop off in May since 1984. Weak factory sector figures, combined with dreary manufacturing data from around the world, and continuing high unemployment doesn’t just present a political problem for the Obama White House. Some economists worry the economy could face a “double-dip” recession. “Financial crises are followed by slow recoveries,” says Kelly Evans, “Ahead of the Tape” columnist for The Wall Street Journal.

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