Stocks to plunge on auto sector worries, global economy

Updated

U.S. stock futures significantly declined Monday morning, indicating Wall Street is poised for a sharply lower open amidst auto sector worries. The White House said bankruptcy was a possibility for General Motors (GM) and Chrysler. Meanwhile, on the global front, with the G-20 summit set to begin Thursday, further stimulus plans may not be in the cards.

The Obama administration didn't find the plans submitted by General Motors and Chrysler acceptable to receive more federal bailout money. This may dramatically reshape the auto industry as the administration is now considering structured bankruptcy plans for the two automakers.

Advertisement