April 18th, 2011
09:30 PM ET

Stocks drop as S&P slashes U.S. outlook

Some highlights from the day's business news:

Stocks sink after U.S. outlook slashed

U.S. stocks cut some losses late Monday afternoon, but still finished the session sharply lower after Standard and Poor's cut its long-term outlook on U.S. debt to negative.

The Dow Jones industrial average sank 140 points, or 1.1%. The S&P 500 fell 15 points, or 1.1%, and the Nasdaq Composite lost 29 points, or 1.1%.

Earlier in the session, all three indexes were down 2%.

S&P kept its "AAA'"-rating on the world's largest economy, but said it was concerned about the United States' ballooning deficit. While President Obama and GOP leaders have unveiled separate plans to reduce the U.S. deficit, the ratings agency said "the gap between the parties remains too wide.

'China's Facebook,' Renren, files for IPO

Renren, China's largest social-networking service, filed for a U.S. initial public offering late Friday in a bid to fund expansion.

The so-called Facebook of China plans to sell shares for $9 to $11 each, according to Renren's filing with the Securities and Exchange Commission.

Renren said in its filing that it is the leading social networking site as measured by total page views, total number of visits and total user time spent on its websites as of February. Renren cited data from iResearch.

The company's platform - which also features an online games site, a social commerce site and a professional networking service - had about 117 million activated users as of March 31, 2011.

Renren said it plans to use proceeds from the IPO to expand its technology, development and marketing. It will trade on the New York Stock Exchange under the symbol "RENN."

- CNNMoney.com writers Hibah Yousuf and Julianne Pepitone contributed to this report.

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Filed under: Business • Economy
soundoff (18 Responses)
  1. nur amabo nur

    Still supporting Obama ???

    April 19, 2011 at 10:24 am | Report abuse |
  2. Joey

    I still support Obama.

    April 19, 2011 at 11:49 am | Report abuse |
  3. Al from CA

    It seems like Wall St. is doing more to mess with everyday Americans than Congress. Traders are more directly responsible for the fluctuating prices of gas, coffee, cocoa, orange juice, and everything else we use, than Congress! Way to go Wall St. Now you've found a way to make people afraid NOT to sacrifice their hard earned disability and retirement benefits that they've worked for since many of them were in their early teens! The money trickles down to us like alms for the poor and you make it harder and harder to afford to live above the poverty level, much less travel anywhere even on what used to be a local vacation. It's only 5 hours to Vegas from here and we're having family disagreements about the cost of driving there. How's that for fair? I've been listening to people scream at Washington for years. Why can't anybody do anything about Wall St. yanking our reins like we were pack mules forced to haul their margins?

    April 19, 2011 at 12:17 pm | Report abuse |
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