Chances of QE3 replacing QE2 are quite low, says HSBC India

The Dow Jones Industrial Average shed nearly 280 points amid concerns that the US economy was stagnating. The ISM manufacturing numbers, US May auto sales and overall disappointing US data added to the negative sentiment building among US stocks. The Standard & Poor's 500-stock index fell 30.65 points, or 2.3%, to 1314.55, its biggest drop since Aug. 11. Only 10 stocks in the S&P 500 finished in positive territory. The Nasdaq Composite fell 66.11 points, or 2.3%, to 2769.19.