NEW YORK (November 14, 2012)--Stocks dropped sharply
Wednesday on Wall Street, as investors worried that there may not be a quick resolution to a budget impasse in Washington.
The Dow Jones industrial average ended the day down 185 points at 12,570.
The Standard & Poor's 500 index closed down 19 at 1,355.
The Nasdaq composite index was down 37 at 2,846 at the close.
Investors didn't draw much hope from a news conference by President Barack Obama who said he wants Congress to extend expiring tax cuts immediately for all but the highest income earners.
Taxes are set to go up for almost all Americans on Jan. 1, the same day sharp cuts to government spending begin to take effect.
The combination could send the country back into recession.
Declining stocks outnumbered advancers by about 9-to-1.
Volume was heavier than average, more than 4 billion shares.