The Dow drops below 7,000; lowest since '97

The Dow Jones industrial average has fallen below 7,000 Monday for the first time in more than 11 years as investors grow even more pessimistic about the health of banks, and in turn the economy. A staggering $61.7 billion in quarterly losses at insurer American International Group Inc. is touching off fresh fears about the health of the nation's financial system. Those worries pushed the blue chips below 7,000 for the first time since Oct. 28, 1997. The credit crisis and recession have now slashed half the average's value since it hit a record high over 14,000 in October 2007. The Dow is down 225 at 6,837. The Standard & Poor's 500 index is down 26 at 708.46, and the Nasdaq composite index is off 38 at 1,338.