The Dow Jones Industrial Average had lost more than 130 points at midday, falling 0.99 percent to 13,540.31 after Merrill Lynch (NYSE: MER; TYO: 8675) said that it had written down $7.9 billion in the third quarter, over $2 billion more than it had said that it would have to write off earlier, for a net loss of $2.3 billion in the quarter.

In addition the National Association of Realtors said that existing home sales were down again in September, falling 8 percent during the month for the biggest decline since 1999 and much more than the 4.5 percent that had been expected.

The weak sales sent the median price for an existing home 4.2 percent lower than last year at the same time.

The Nasdaq Composite, meanwhile, was down 1.93 percent to 2,745.37 and the S&P 500 dropped 1.3 percent to 1,499.79.

In the technology sector Intel (NAS: INTC; SEHK: 4335) was $1.08 lower to $25.72 after Broadcom (NAS: BRCM) issued a worse than expected quarterly report Tuesday.

Broadcom was $7.51 lower to $34.55.

Banks took the Merrill Lynch news hard.

Bank of New York (NYSE: BNY) was $1.30 lower to $46.18, while Bear Stearns (NYSE: BSC) was down $4.13 to $112.04.

Internet retailer Amazon (NAS: AMZN) dropped $15.32 to $85.50 even though it reported that its profits in the quarter more than quadrupled.

Wall Street was higher in early afternoon trade on Wednesday as General Motors (NYSE: GM) and the United Auto Workers reached a tentative agreement in contract negotiations and the UAW called a halt to its two-day-old strike while the contract is being reviewed by the union.

The news of an agreement sent GM’s shares $1.68 higher to $36.10.

The Dow Jones Industrial Average added 0.6 percent to 13,861, while the Nasdaq Composite was up 0.81 percent to 2,705.3 and the S&P 500 gained 0.57 percent to 1,525.86.

The Commerce Department reported that durable goods orders were 4.9 percent lower in August, a bigger decline than the 3.5 percent than had been anticipated after orders rose by 6.1 percent in July.

Transportation equipment orders dropped 11.2 percent, with commercial aircraft orders down 41 percent and orders for motor vehicles and parts dropping 6.2 percent.

On the other hand, orders for military aircraft gained 43.2 percent.

Even without the decline in the transport sector, durable goods orders would still have declined by 1.8 percent.

Investment banks saw gains on conjecture that Bear Stearns (NYSE: BSC) could be in talks to sell a minority share.

Bear Stearns added $4.01 to $118.25, while Goldman Sachs (NYSE: GS) gained $3.07 to $213.97 and Morgan Stanley (NYSE: MS) was up $1.42 to $62.79.

In the software sector, open-source software manufacturer Red Hat (NYSE: RHT) was $1 higher to $19.89 after it said profits in its fiscal second quarter were up by 59 percent.

Mixed quarterly reports sent Wall Street lower at midday on Thursday, despite Tuesday’s interest rate cut and a Labor Department report that showed that new unemployment claims were down by 9,000 last week.

There was little indication from Federal Reserve chairman Ben Bernanke, in testimony before the House Financial Services Committee, of what if any further measures the Fed might take to further alleviate the repercussions from the credit crisis.

The Dow Jones Industrial Average dropped 0.13 percent to 13,797.35, while the Nasdaq Composite was down 0.18 percent to 2,661.71 and the S&P 500 was 0.27 percent lower to 1,524.96.

In the financial services sector, Goldman Sachs (NYSE: GS) gained $2.80 to $208.10 after it said its profits were up by 79 percent in the third quarter, a surprise considering the chaos in the subprime market.

While Bear Stearns (NYSE: BSC) saw declines after it said its profits fell by 62 percent in the quarter, it added $3.13 to $118.77 after its CFO said that the worst of the losses seems to be behind it.

Elsewhere, electronics retailer Circuit City was $1.81 percent lower to $8.76 after it reported losses in the quarter.

Most airlines were lower as oil prices remained near record levels and Goldman Sachs issued a warning that the sector could be subject to competitive pressures and a tough economy.

Continental Airlines (NYSE: CAL) was $1.02 lower to $32.66, while Alaska Air (NYSE: ALK) dropped 96 cents to $24.27.

AMR (NYSE: AMR), the parent of American Airlines, fell 70 cents to $23.92.

Goldman Sachs cut its rating on both AMR and Alaska Air from “neutral” to “sell”.

On the other hand, the broker raised its recommendation on Southwest Airlines (NYSE: LUV) from “sell” to “neutral”, sending Southwest’s shares 21 cents higher to $15.34.

Wall Street was lower at midday on Tuesday as investors waited for the release of the minutes from the most recent meeting of the US Federal Reserve.

The Dow Jones Industrial Average was down 1.09 percent to 13,176.87, while the Nasdaq Composite had dropped 1.27 percent to 2,528.67 and the S&P 500 had dropped 1.17 percent to 1,449. 69.

Analysts and investors were interested in what the Fed minutes had to say in order to see if they provide any hints about where interest rates might go in the future, especially in light of recent comments from officials that they are willing to do whatever is necessary to retain stability in the markets.

A new report from the Conference Board, showing consumer confidence down from a revised reading of 111.9 percent in July to 105 in August did not help, although the reading was a bit better than the 104.5 that had been expected.

House builders were lower on the report that house prices were down by 3.2 percent in the second quarter, the biggest rate of decline since the S&P housing index was begun in 1987.

D. R. Horton (NYSE: DHI) dropped 45 cents to $14.76, while Hovnanian Enterprises (NYSE: HOV) was down 60 cents to $10.66 and Toll Brothers (NYSE: TOL) fell 73 cents to $21.27.

Banks were lower after Merrill Lynch (NYSE: MER; TYO: 8675) issued a downgrade, from “buy” to “neutral”, to three financial institutions.

Citigroup (NYSE: C) dropped 94 cents to $46.85, while Bear Stearns (NYSE: BSC) fell $1.49 to $110.71 and Lehman Brothers (NYSE: LEH) was down $2.50 to $55.25.

Wall Street was lower in afternoon trade on Tuesday.

At early afternoon in New York, the Dow Jones Industrial Average was 0.76 percent lower to 13,136.06, a decline of 100.47 points after having been down as many as 178 points earlier in the session.

The Nasdaq Composite was down 0.7 percent to 2,534.51, while the S&P 500 had dropped 0.81 percent to 1,441.1.

The declines came after the European Central Bank put another $10.5 billion into money markets as the US Federal Reserve declined to add any additional cash into the system.

In other economic news, the Labor Department reported that the producer price index was 0.6 percent higher in July amid higher energy costs.

However, with energy and food costs subtracted, the core PPI was only up 0.1 percent in the month.

Home Depot (NYSE: HD) was 81 cents lower to $34.43 after it said that profits were down by 14.8 percent in the second quarter.

The result was better than had been anticipated, but it warned that full-year profits will likely be down this year due to declines in the housing sector.

The home improvement retailer also said that it could have to cut its planned stock repurchase in half if the sale of its HD Supply unit is not completed, although Home Depot CFO Carol Tome was quick to add that the $10.3 billion sale to private equity is not in trouble.

Elsewhere in the retail sector, Wal-Mart (NYSE: WMT) dropped $2.17 to $44.00 after it cut its profit forecast and said that the economy, including higher oil prices, was cutting consumer spending globally.

Toymaker Mattel (NYSE: MAT) was down 48 cents to $23.09 after it extended its recall of toys made in China.

It was the second recall announced in two weeks.

Financial services were also lower again.

Bear Stearns (NYSE: BSC) dropped $1.54 to $108.06, while Goldman Sachs (NYSE: GS) fell $6.71 to $170.79.

Wall Street was lower in early afternoon trade, with the Dow Jones Industrial Average 1.17 percent lower to 13,497.47.

The Nasdaq Composite had dropped 0.99 percent to 2,587.07 and the S&P 500 was 1.47 percent lower to 1,475.54.

The financial services sector was lower as troubles in the subprime sector caused upset in Europe as well as in the United States.

Citigroup (NYSE: C) had dropped $1.84 to $47.65, while JP Morgan Chase (NYSE: JPM; TYO: 8634) fell $1.75 to $44.76.

Bear Stearns (NYSE: BSC) was down $6.32 to $114.80, while Goldman Sachs (NYSE: GS) had dropped $9.30 to $184.00.

Meanwhile, some retailers reported that sales were slow in July as back-to-school shoppers put off their purchases.

While Wal-Mart (NSYE: WMT) said that same-store sales were up by 1.9 percent, better than the 1.5 percent that had been expected, it warned that apparel and home furnishings sales were weak and that heavy discounting had hurt profits.

Wal-Mart was down $1.25 to $47.17 in early afternoon trade.

The Gap (NYSE: GPS) added 1 cent to $15.74, but it said that same-store sales were down 7 percent, worse than that 4.9 percent decline that had been anticipated.

Elsewhere in the retail sector, home improvement retailer Home Depot (NYSE: HD) was $1.92 lower to $35.88, while discount retailer Family Dollar Stores (NYSE: FDO) had dropped $3.38 to $27.

The New York equities markets were higher in early afternoon trade on Wednesday, with the Dow Jones Industrial Average up 0.84 percent to 13,617.78.

The Nasdaq Composite was 1.92 percent higher to 2,610.69, while the S&P 500 had added 1.15 percent to 1,493.72.

The gains came on comments from the Federal Reserve on Tuesday that it expects the US economy to continue to grow moderately and after Cisco Systems (NAS: CSCO; SEHK: 4333) said its profits were up by 25 percent in the most recent quarter and upped its revenue prediction for the full year.

Cisco gained $1.78 to $31.47 after it made its report.

Meanwhile, house builder Toll Brothers (NYSE: TOL) said that revenues are down 21 percent in its preliminary third-quarter report and refused to provide an earnings guidance in what it called a volatile market.

Still, Toll Brothers added $1.06 to $24.01 because the declines weren’t as steep as analysts had expected them to be.

That, and a statement from KB Home (NYSE: KBH) that it had used cash on hand to repay $650 million in debt sent the sector higher.

KB added $3.36 to $36.42, while DR Horton (NYSE: DHI) was up $1 to $18.39, Pulte Homes (NYSE: PHM) was $2.46 higher to $22.84, and Centex (NYSE: CTX) gained $2.73 to $38.40.

Financial services also saw gains.

Wells Fargo (NYSE: WFC) added 70 cents to $34.97, Citigroup (NYSE: C) gained 88 cents to $49.47, and Bank of America was 94 cents higher to $49.61.

Meanwhile, Lehman Brothers was up $4.44 to $65.15, while Goldman Sachs added $5.55 to $196.80 and Bear Stearns was $7.35 higher to $124.24.

Wall Street was higher in early afternoon trade Monday.

The Dow Jones Industrial Average had added 0.63 percent to 13,264.5, while the Nasdaq Composite was 0.29 percent higher to 2,518.56 and the S&P 400 was up 0.69 percent to 1,442.9.

The Russell 2000 index had gained 0.06 percent to 755.84.

Trade in shares of American Home Mortgage (NYSE: AHM) were halted after it had lost most of its market capitalization in the past few sessions, laid off nearly all its employees last Friday and today filed for bankruptcy protection in Delaware.

Elsewhere in the sector, however, Countrywide Financial (NYSE: CFC) added 47 cents to $25.48.

Investment banker Bear Stearns (NYSE: BSC) dropped $3.32 to $105.03 in the wake of last week’s reduced ratings outlook from Standard & Poor’s and after it fired an executive over the weekend.

On the other hand, other members of the financial services sector were higher.

Bank of America (NYSE: BAC) was 35 cents higher to $47.35, while JP Morgan Chase (NYSE: JPM) added 65 cents to $44.30, Citigroup (NYSE: C) gained 82 cents to $46.54, Wells Fargo (NYSE: WFC) was up $1.42 to $34.23 and Merrill Lynch (NYSE: MER) added $2.02 to $72.07.

There were also gains in the pharmaceuticals sector, where Bristol-Myers Squibb (NYSE: BMY) was 7 cents higher to $28.07, Pfizer (NYSE: PFE) gained 39 cents to $23.90 and Merck (NYSE: MRK) was 80 cents higher to $51.09.

Merck’s gains came on a broker upgrade.

In the retail sector, Wal-Mart (NYSE: WMT) added $1.03 to $46.55 after it said that it is putting together a joint business-to-business venture in India.

The New York equities markets were lower in early afternoon trade after the US Labor Department released new data showing that 92,000 jobs were created in July, lower than the 135,000 new jobs that had been expected and less than the 132,000 new jobs created in June.

Unemployment was up to 4.6 percent in July after a reading of 4.5 percent in June.

The Dow Jones Industrial Average was 0.6 percent lower to 13,380.99, while the Nasdaq Composite fell 0.8 percent to 2,555.59 and the S&P 500 had dropped 0.9 percent to 1,458.85.

American Home Mortgage (NYSE: AHM) was 67 cents lower to 78 cents, down from around $10 a week ago, after it announced Thursday that it had stopped taking applications for mortgages and was laying off most of its 7,000 employees, effective today.

Countrywide Financial (NYSE: CFC) dropped $1.38 to $25.39.

Elsewhere in the financial sector, Bear Stearns (NYSE: BSC) fell $3.28 to $112.35 after Standard & Poor’s cut its credit rating to negative on fears that earnings will fall.

In the automobile manufacturing sector General Motors (NYSE: GM) dropped 79 cents to $32.60, but US-traded shares of Toyota (NYSE: TM; LSE: TYT; TYO 7203.T) were up 94 cents to $119.53.

Among consumer goods manufacturers, Proctor & Gamble fell 31 cents to $62.98 after it dropped its full-year profit prediction slightly.

Wall Street was lower in early afternoon trade on Wednesday after Federal Reserve chairman Ben Bernanke made worrying remarks in testimony before Congress and as brokerages took losses after a downgrade of the biggest names in the sector.

The Dow Jones Industrial Average was 0.72 percent lower to 13,871, while the Nasdaq Composite dropped 1.02 percent and the S&P 500 fell 0.65 percent to 1,539.34.

An analyst at Punk Ziegel & Co downgraded the top five brokerages from “market perform” to “sell” after Bear Stearns (NYSE: BSC) said that two of its hedge funds holding subprime mortgage assets have lost almost everything.

Bear Stearns dropped $2.12 to $137.79, while Lehman Brothers (NYSE: LEH) was 2.31 percent lower to $70.75, Morgan Stanley (NYSE: MS) fell $2.71 to $70.14, Merrill Lynch (NYSE: MER: TYO: 8675) was down $3.30 to $82.90, and Goldman Sachs (NYSE: GS) fell $6.55 to $212.85.

Meanwhile, Mr. Bernanke’s comments in his testimony before Congress were full of concern about inflation and the state of the housing market, culminating in a lower forecast for US economic growth this year and next.

Among housebuilders, Pulte Homes (NYSE: PHM) dropped 3.8 percent to $21.85 after it predicted losses in the second quarter.

In the pharmaceuticals sector, Pfizer (NYSE: PFE) was 4.6 percent lower to $24.78 after both earnings and revenues were lower than had been anticipated.

In the internet sector, Yahoo (NAS: YHOO) was down $1.37 to $26.16 after its second quarter results were about as expected but it lowered its guidance for the third quarter.

Intel (NAS: INTC; SEHK: 4335) dropped $1.32 to $25.01 even though quarterly earnings were better than had been anticipated but gross margins were reported to have dropped.