Stimulating Greater Depression

Wall Street tumbles on bank plan misgivings

Stocks tumbled 3 percent on Tuesday as bank shares slid on concerns that a plan to shore up the financial sector unveiled by Treasury Secretary Timothy Geithner may not be enough to loosen up credit and contain the deepening recession.

Indexes slumped immediately following Geithner’s announcement of a plan to mop up $500 billion in spoiled assets from the beleaguered banking system.

Financial stocks, which had spearheaded a rise in the market in recent sessions in anticipation of the plan, skidded as the lack of details in Treasury’s announcement raised questions about whether the plan will be enough to rein in the financial crisis.

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