Sector Glance: Heavy Equipment

Heavy-Equipment Shares Tumble As Fed Decision to Cut Interest Rates Fails to Stop Dow Drop

NEW YORK (AP) -- Shares of a variety of heavy-equipment companies tumbled Tuesday, along with the broader market, as a decision by the Federal Reserve to cut a key interest rate failed to ward off worries of a U.S. recession.
The Dow Jones industrial average plunged 400 points in early trading to 11,698. It last was below 12,000 in March 2007.

The Fed's decision to cut its federal funds rate to 3.5 percent and the discount rate, the interest it charges to lend directly to banks, came a week before the central bank's regularly scheduled meeting.

Here's how heavy-equipment stocks traded Tuesday morning:

Caterpillar Inc. fell 80 cents to $62.01.
Deere & Co. fell $1.21 to $75.19.
Terex Corp. fell $2.28, or 4.5 percent, to $48.64.
Manitowoc Co. fell $2.42, or 6.8 percent, to $33.18.
Illinois Tools Works Inc. fell 10 cents to $47.05.
Astec Industries Inc. rose 18 cents to $27.13.
Agco Corp. fell $2.28, or 3.9 percent, to $55.53.