Dow Tumbles 500 Points, Putting It in Red for Year

story by Wall Street Journal

written by brendan Conway and Jonathan Cheng

NEW YORK–Stocks plunged, driving the Dow Jones Industrial Average to close down more than 500 points, as investors appeared to lose faith in the ability of the world's policy makers to revive the global economy and stave off a rolling debt crisis in Europe.

The Dow slid 512.61 points, or 4.3%, to 11383.83, erasing all its gains for 2011. The slump of the past few weeks has driven the Dow down more than 10% from its May intraday highs, putting the index officially in correction territory.