Wall Street hammered in global sell-off

NEW YORK - The Dow Jones industrial average plunged over 500 points Tuesday, with losses accelerating in the final hour of trading, as Wall Street joined a global stock decline sparked by growing concerns that the U.S. and Chinese economies are cooling and that U.S. stocks are embarking on a major correction.

A 9 percent slide in Chinese stocks earlier set the tone for U.S. trading, a day after investors sent Shanghai's benchmark index to a record high close.

Investors' confidence has been knocked down by a slew of data showing that the economy may be decelerating more than anticipated. A Commerce Department report that orders for durable goods in January dropped by the largest amount in three months exacerbated jitters about the direction of the U.S. economy, which were raised a day earlier when former Federal Reserve Chairman Alan Greenspan said the economy may be headed for a recession.

Soup Line