–Retransmitting Updated Story Headlined 13:55 ET Tuesday

By Alyce Andres-Frantz

CHICAGO (MNI) – The 5.9 magnitude earthquake that hit central
Virginia Tuesday, to be felt from South Carolina to Toronto, disrupted
schedules and stopped millions in their tracks.

It was the strongest earthquake in the area since 1897 and provoked
an early rush-hour jam for waves of commuters, particularly in
Washington where federal employees were allowed to leave early.

According to the National Geological Survey, a 5.9 earthquake
struck at 1:53 p.m. ET. Tremors were felt throughout the metro
Washington area, in lower Manhattan, and as far away as South Carolina
and Canada.

The Federal Reserve at 3:05 p.m. said it was operating but had sent
all non-essential personnel home. Scattered telephone and traffic signal
outages persisted in Washington. The subways were kept to 15 mph.

At Washington’s historic National Cathedral, three of the four
pinnacles on the central tower were shaken off and other damage may have
occurred. The huge Cathedral was built without a steel superstructure
and remained evacuated.

The Capitol building and Pentagon — where an inside water main
broke — were also emptied and at the Treasury Department, also without
a steel superstructure, much of the building — but not the first-floor
press room — were evacuated. All memorials and monuments were closed by
the National Park Service.

Immediately following the earthquake, evacuations were reported in
various high-rise buildings as far away as New York City, Philadelphia,
Atlantic City, and Willmington, Delaware. Washington public schools were
also evacuated.

Employees of several high-rise office buildings in lower Manhattan,
including those of the Market News International office located at 40
Fulton Street, had evacuated to the street and various open areas.

Authorities reported two aftershocks, too small to be felt. Two
nuclear power generating stations near the epicenter, in Louisa county
Virginia, about 40 miles northwest of Richmond and 83 miles southwest of
Washington, were taken offline. The U.S. Geological Survey said the
earthquake was 3.7 miles deep.

Trading in the financial markets was not disrupted in the aftermath
of the quake and in fact, at the New York Stock Exchange, CNN reported
the cry of “keep trading” could be heard after the temblor.

MNI employees in N.Y. reported that there appeared to be no damage
from the tremors and electricity was working, but cell phone service
from various providers was disrupted.

The FAA confirmed flights into all New York, Philadelphia and
Washington airports had been halted. Later flights were resumed at
New Jersey’s Newark and New York’s Kennedy airport, as well as at
Washington’s Dulles and National airports.

In terms of market reaction, the Dow Jones Industrials fell 50
points from 11,067 at 1:51 p.m. ET to 11,004 in a span of 30 minutes
after the quake. Eventually, the Dow industrials closed up 322.11,
having decisively topping the 11,000 level, at 11,176.76.

As stocks gained, Treasury yields on the 10-year note rose sharply
to close at 2.141% versus 2.099% as news of the quake was absorbed.

** Market News International Chicago Bureau: (708) 784-1849 **

[TOPICS: MAUDS$,M$U$$$]