MORTGAGE LOSSES ECHO IN EUROPE AND ON WALL ST.

The article reports that the ramifications of the turmoil in the U.S. mortgage loan market spread to European and U.S. financial markets, leading to the largest decline of U.S. stock prices since February, 2007. The French bank BNP Paribas suspended activity in three hedge funds, saying it could not value their assets. The European Central Bank and the U.S. Federal Reserve injected hundreds of billions of dollars into the banking system to prevent a liquidity crisis.