The Week on Wall Street: More Pain

Friday

Stocks were under pressure on Friday as investors remained concerned with the credit markets and availability of capital.

The ISM non-manufacturing index came in below economists' estimates while monthly jobs data also fell short of expectations.

The July payrolls report also hurt sentiment, as the economy added 92,000 jobs, the slowest pace since February.

"Credit markets are worse today than they have been in a long time," said Dan McMahon, head of listed trading, CIBC World Markets. "You have some selective buying in groups that people think have limited exposure but the financials are really underperforming."

Bear Stearnsshares traded lower after Standard & Poor's changed its rating outlook on the company to negative from stable, indicating there is a greater chance of a downgrade over the next two years.

A late selloff added to existing losses, leaving the Dow with a 2% loss. The Nasdaq fell about 2.5%.