TSX down 5.3% at close

North American stock markets plunged again Monday,driven by economic doubtsand concern about the $700-billion US bailout of the American financial system.

In both Toronto and New York, indexes fell through the 10,000 level in early trading, rebounded slightly, fell again and then moved up.

By the close Monday, the S&P/TSX composite index was down572.92 points, or5.3 per cent, to 10,230.43. It had been down as much as 1,180 points or almost 11 per cent.

The TSXbegan to drop in the summer, but the fallhas become steeper since late August, and trading in late September and October has been frantic, with frequent big drops.

In New York, the Dow Jones industrial average closed down369.88 points, or3.6per cent, to 9,955.50. That's the lowest level in four years.

Worldwide, investors were concerned with the effectiveness of the U.S. bailout, signed into law by President George W. Bush on Friday. It will take some time to implement and may not be enough to turn around the credit crunch,critics have said.

The credit crunch isthreatening to choke the supplyof loans to borrowers. As that happens, the economy will seize up.

In Toronto, the falling oil price off $6.07 US to $87.81 US a barrel pushed the energy sub-index down9.4per cent, the sharpest drop among the industry groups. The gold sub-indexfell, even though the price of gold, a traditional safe harbour in uncertain times, was up $33.80 US an ounce to $862.70.

The biggest percentage drop on the TSX happened onBlack Monday,Oct. 19, 1987, when the market fell 11.32 per cent.