2007_02_wallstr.jpgYesterday, the Dow Jones industrial average fell 416 points (a significant 3.3% drop) after a plunge in Shanghai's stock market. Well, now the Asian stock markets have fallen again, because investors are worried about the American economy! The NY Times reports that share prices rebounded in China, rising "nearly 4 percent today after state-controlled media reported that the government might allow greater foreign investment in Chinese stocks and would not impose capital gains taxes on stocks soon." Way to go, state-controlled media! But in places without state controlled media, like Tokyo, Hong Kong, and Europe, the markets seem to be down by another 2%. You can check Wall Street and world stock markets at CNBC.

Yesterday's sell-off came so quickly that Dow Jones couldn't keep up with trading. In fact, some are worried that the technical melt-down from the Dow Jones server shows vulnerabilities in the New York Stock Exchange's "hybrid trading system." The Post describes the hybrid system as a way buyers and sellers are paired off electronically, "rather than relying on human interaction" - but yesterday some traders went back to paper tickets.

The NY Times on worries about world economies and whether the U.S. is on track for a recession. The Daily News has "five reasons the BIG drop affects us all."

Photograph of trader reacting during the NYSE's closing bell by Frank Franklin II/AP