GLOBAL MARKETS-Credit fears drag on US stocks, propel bonds

Reuters
Friday February 8 2008
(Updates U.S. markets with closing figures)
By Leslie Adler

NEW YORK, Feb 8 (Reuters) - The broader U.S. stock market fell on Friday as renewed worries about the credit market sparked a wave of selling in financial shares, but a rally in beaten-down technology shares led the Nasdaq higher.

The credit market fears drove safe-haven buying of U.S. government bonds, while the Dow Jones industrial average ended its worst week in nearly five years.

Concerns about the precarious state of the U.S. economy, highlighted by remarks late on Thursday by a Federal Reserve official who said she was "not confident" a recession could be avoided this year, added to the rally in U.S. Treasury debt prices, which recovered from their worst rout in four years.

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