JIM LEHRER: Wall Street took a beating today. Stocks sank under growing doubts about the economy and more bad financial news.
The Dow Jones industrial average lost more than 315 points to close at 12,266. The Nasdaq fell 60 points to close at 2,271. For the week, the Dow lost nearly 1 percent; the Nasdaq fell nearly 1.5 percent.
The market's slide followed another round of weak economic data. The Commerce Department reported consumer spending was flat in January for the second month in a row.
A University of Michigan survey found consumer confidence in February hit the lowest level in 16 years. And an industry survey found business conditions in the Midwest are the worst since at least 2002.
There was more fighting today over a Senate deadlock on housing. Democrats want bankruptcy courts to write down interest rates on the riskiest mortgages, among other things. Republicans blocked action yesterday, saying the bill would only make things worse.
Today, Senator Kit Bond of Missouri said his side has better ideas.
SEN. KIT BOND (R-Mo.): I talked with a number of my colleagues on the other side of the aisle and they agree that our proposals make sense. We just want to have votes on the proposals we think that are effective, conservative fiscally, and will not endanger the homeowners that we seek to help.
JIM LEHRER: Majority Leader Reid said Republicans just want to make sure Democrats don't get credit. He showed a count of dozens of filibusters, but he said it won't last.
SEN. HARRY REID (D-Nev.), Senate majority leader: The American people are seeing what's going on. They're seeing how you're maintaining the status quo. Enjoy it while you can, because our majority come November is going to grow.
So continue to block, because it's not going to be there forever; it's not going to be there very long.
JIM LEHRER: The housing battle is expected to resume next week.
In the presidential campaign today, the candidates went into the weekend vying for votes in Texas and Ohio. Hillary Clinton aired a new ad asking who'd be ready to lead in a foreign crisis. Barack Obama shot back that she had her chance -- and failed -- when she voted for the Iraq war.
Republican John McCain criticized both Democrats for saying they'd renegotiate the North American Free Trade Agreement. We'll have more on the campaign later in the program tonight.
Russian President Putin appealed to voters today to show up at the polls on Sunday. Russia holds its presidential election then. Putin's chosen successor, Dmitry Medvedev, appears certain to win.
In a statement today, Putin said high turnout would help the new president and ensure stability. We'll have more on this story right after the news summary.
In Lebanon today, reports of American warships deploying off the coast sparked a war of words. The U.N. Navy announced yesterday it's sending the destroyer USS Cole and two other ships.
It comes amid a political deadlock with a U.S.-backed government under pressure from Syria. But the prime minister insisted today it wasn't his idea.
FUAD SANIORA, prime minister, Lebanon (through translator): We did not request any warships from any party. And I would like to emphasize our fixed position in defending the independence of Lebanon, its sovereignty, and its supreme interest, so it would not be a battlefield for regional and international conflicts.
JIM LEHRER: The Syrians had no immediate statement. But the pro-Iranian Hezbollah charged the United States is trying to use force to get its way in Lebanon.
A spokesman said the militant group will not be intimidated.
HUSSEIN RAHHAL, spokesman, Hezbollah (through translator): This is an American threat to the security and stability of Lebanon. It is an assault on Lebanese sovereignty, and it comes within the framework of the American war in the region. The Lebanese people reject this intervention and this assault on Lebanese sovereignty.
JIM LEHRER: In Washington today, a State Department spokesman said the deployment is just a reminder that we are there.
Turkey ended its incursion into northern Iraq today. At least 200 trucks carrying Turkish troops were seen leaving the border area. The incursion was launched a week ago, targeting Kurdish rebels. The military insisted the pullout was not related to outside pressure. Yesterday, both President Bush and Defense Secretary Gates urged the Turks to end the offensive as soon as possible.
Gunmen in Iraq abducted a major religious figure today. Police in Mosul said the Chaldean Catholic archbishop was taken as he left a church. His driver and two companions were killed.
And in Diyala province, U.S. and Iraqi officials confirmed thousands of Sunni police have stopped working. They're protesting pay issues and a disagreement with a Shiite police chief.
The U.S. warned Afghanistan today it must take decisive action against the country's growing drug industry. A State Department report said the blooming opium poppy trade is financing the Taliban's resurgence. It said the problem is slowing any progress toward a stable democracy.
