we are doomed tomorrow..., page-4

re: iraq irritates stocks we are doomed tomorrow.. Iraq irritates stocks

U.S. markets ready to sell off at the open as world prepares for military conflict.
March 17, 2003: 5:31 AM EST
By Mark M. Meinero, CNN/Money Staff Writer



NEW YORK (CNN/Money) - U.S. markets seem likely to follow their counterparts throughout the world Monday after President Bush indicated that military action involving Iraq is near.

At 5:30 a.m. ET, futures pointed to a sharply lower start for the major indexes.

A worldwide selloff was triggered by Bush's remarks in the Azores that Monday is "a moment of truth for the world." Bush, who met Sunday with the prime ministers of Britain, Spain and Portugal, said nations must demonstrate a commitment to peace and security "by supporting the immediate and unconditional disarmament of Saddam Hussein" in a U.N. resolution

France doesn't quite see it that way. Foreign Minister Dominique de Villepin repeated France's vow to veto any resolution authorizing the automatic use of force if Iraq doesn't meet demands for its disarmament. The minister said France still believes Iraq can eliminate its weapons of mass destruction peacefully.

The imminence of war is reflected by a U.S. advisory early Monday that U.N. inspectors withdraw from Iraq, according to the International Atomic Energy Agency.

Asian-Pacific stocks ended lower Monday, with Tokyo's Nikkei index down 1.6 percent. European markets were sharply lower in early trading.

Among U.S. stocks trading in Europe, military contractor Lockheed Martin (LMT: Research, Estimates) was among the few gainers, up 4 percent.


For details of Friday's results, click above

The Dow Jones industrial average rose 1.5 percent last week, snapping a two-week string of losses; the Dow was up 38 points Friday. The Nasdaq composite index finished 2.7 percent higher last week despite a miniscule loss Friday (see chart for details).

Treasury prices soared in early trading, with the 10-year note yield down to 3.64 percent from 3.71 percent late Friday. The dollar skidded against the yen, and was down modestly versus the euro.

As might be expected amid sign of conflict in the Persian Gulf oil region, Brent oil futures were 42 cents higher at $30.55 a barrel in London. Gold, although up sharply, was off its peak of the day.