(CNN Student News) -- October 29, 2009
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MANDY CARRANZA, CNN STUDENT NEWS ANCHOR: Today marks a milestone for the stock market, one that most people probably don't want to celebrate. We'll explain why in a bit. Hi, everyone. Sitting in for Carl Azuz, I'm Mandy Carranza.
CARRANZA: First up, officials in Pakistan are speaking out against the most violent attack to strike the country this year. It happened yesterday in the city of Peshawar, when a car bomb exploded in a busy marketplace that's popular with women. More than a hundred people were killed by the blast and at least 200 others were injured. The bomb sparked fires that quickly spread through nearby fabric stores.
The attack happened just hours after Secretary of State Hillary Clinton arrived in Pakistan to take part in meetings about the nation's fight against the Taliban. She issued a challenge to the people responsible for yesterday's violence.
HILLARY CLINTON, U.S. SECRETARY OF STATE: If the people behind these attacks were so sure of their beliefs, let them join the political process. Let them come forth to the people of Pakistan in this democracy and make their case that they don't want girls to go to school; that they want women to be kept back; that they believe that they have all the answers and that the rest of us who are people of faith have none.
Hate Crimes Law
CARRANZA: Back in Washington, President Obama has signed a law that makes it a federal crime to assault someone because of his or her sexual orientation. The new legislation was included in a defense spending bill and it expands on the government's existing hate crimes law. Some critics of the expanded law argue that it's not necessary to specify one particular group. They believe the existing hate crimes law protected people based on their sexual orientation. There's also some concern that the law could be used against people who may say something controversial, although government officials say it will only be used in the case of violent acts.
Congressional Gold Medal
CARRANZA: And President Obama took part in another ceremony yesterday, this one honoring Edward Brooke, who you see there on the right. He was the first African-American elected to the U.S. Senate by popular vote. And yesterday, Mr. Brooke was awarded a Congressional Gold Medal, Congress' highest civilian honor. Brooke served as a Republican Senator from Massachusetts from 1967 to 1979. During yesterday's ceremony, President Obama said Brooke ran for office in order to bring people together who had never been together before. And former Senator Brooke had a similar message yesterday as he urged political leaders to put politics aside and come together.
BRENDAN GAGE, CNN STUDENT NEWS: Today's first Shoutout goes out to Mrs. Sherrill's 2nd period journalism class at Riverside High School in Greer, South Carolina. Mars is the Roman god of war. Who is his Greek counterpart? If you think you know it, shout it out! Is it: A) Ares, B) Athena, C) Apollo or D) Zeus? You've got three seconds -- GO! Ares is the god of war in Greek mythology. That's your answer and that's your Shoutout!
CARRANZA: And now, Ares might help people reach Mars. Huh? We're talking about NASA and its Constellation program, which includes the new Ares I-X rocket. That's the one. After several days of delays due to bad weather, a test flight of the new Ares rocket launched yesterday, climbing 24 miles above the Earth. According to NASA, this is the largest rocket in the world. The craft is scheduled to replace the space shuttle, and might one day take astronauts to the moon, Mars and beyond. Before yesterday's launch, John Zarrella checked in with a preview of NASA's new program.
JOHN ZARRELLA, CNN CORRESPONDENT: On launch pad A, the space shuttle. It is the present and soon to be the past. On pad B, the Ares I-X rocket; the future, maybe. Built to replace the retiring shuttle fleet, Ares would be the first vehicle since the Apollo years to take humans out of low Earth orbit, perhaps to Mars.
CHARLIE PRECOURT, VICE PRESIDENT, ALLIANT TECHSYSTEMS: It behooves us to build an architecture that can serve a multitude of missions for those next 50-plus years. And that's where this was first envisioned, was to think about space station, lunar, asteroids, beyond.
ZARRELLA: The White House has still not decided whether Ares, built with a budget as thin as the rocket itself, should be the shuttle's replacement. NASA and the rocket's developers have pressed ahead. The pressure is enormous. Over the summer, the rocket segments were put together in the vehicle assembly building. The upper part of the rocket is made up of dummy segments designed to mimic the real deal. The lower stage of four segments of solid rocket will burn for two minutes, producing 3 million pounds of thrust. The entire vehicle is filled with a web of 711 sensors.
JOE OLIVA, ARES I-X PROGRAM MANAGER: The goal of an early flight test is to get the test off early enough that you can actually use that data to influence and make course corrections, if you will, to the design on the full vehicle.
ZARRELLA: But course corrections might cause further delays. The first flight with humans sitting in a capsule on top of the rocket won't take place until 2015, at the earliest. At least five years after the last space shuttle flight.
UNIDENTIFIED FEMALE: Booster ignition, liftoff of space shuttle Discovery!
Shoutout Extra Credit
TOMEKA JONES, CNN STUDENT NEWS: Time for a Shoutout Extra Credit! Wall Street's infamous "Black Tuesday" happened in what year? You know what to do. Was it: A) 1929, B) 1953, C) 1987 or D) 2008? Another three seconds on the clock --- GO! October 29, 1929 is referred to as Black Tuesday. That's your answer and that's your Shoutout Extra Credit!
CARRANZA: Do the math, and that means that today is the 80th anniversary of Black Tuesday. It's called that because on that day in 1929, the Dow Jones Industrial Average, which gives an idea of how the whole stock market is doing, dropped nearly 13 percent. It became the most famous stock market crash in U.S. history. And many experts point to it as the start of the Great Depression, a global economic slump that would last almost a decade. Richard Roth takes a look back at that fateful day.
RICHARD WARSHAUER, WALL STREET AFICIONADO: This is where everything started. And for centuries, this is where everything happened.
RICHARD ROTH, CNN CORRESPONDENT: The Crash. No, not last year's stock market plunge, but the Great Crash. It all went down 80 years ago this week.
WARSHAUER: 1929 was the greatest fall in the Dow Jones over a two-day period. In today's terms, it would be like a 2,200-point drop.
ROTH: Richard Warshauer and lifelong friend Jim Kaplan give tours every anniversary of the Great Crash.
JIM KAPLAN, WALL STREET AFICIONADO: This whole area was filled with people who had come down to see what was going on.
UNIDENTIFIED MALE: The tremendous crowds which you see gathered outside the stock exchange are due to the greatest crash in the history of the New York Stock Exchange in market prices.
ROTH: Quite a shock, especially because the Friday before, following a large drop, newspapers proclaimed the stock market crisis was over.
UNIDENTIFIED MALE: But in October 1929, the Wall Street bubble burst.
ROTH: The historic collapse was just starting, eventually leading, many believe, to the Great Depression.
UNIDENTIFIED MALE: And then it actually loses 89 percent of that value in the stock market crash in 1929.
ROTH: At the Museum of Finance on Wall Street, a ticker-tape machine from the crash days. The end of a mania for stocks based on easy credit.
RICHARD SYLLA, ECONOMICS PROFESSOR AND HISTORIAN: It's leverage. I mean, we learned in the latest financial crisis that firms and individuals can take on too much leverage. That's exactly what they did in the 1920s.
ROTH: A familiar replay to someone born during the crash years.
HILDA HEIN, MUSEUM VISITOR: It did have the smell of the same thing happening again.
ROTH: The crash experts say a famous story is true. At the market's peak, tycoon Joseph Kennedy, patriarch of the Kennedy clan, hearing stock tips from a shoeshine man and selling stocks short, making a fortune.
Do you give out stock tips to anyone, like the famous shoeshine man of 1929?
LINWOOD HARRIS, SHOESHINE MAN: No, I don't. No, I don't.
ROTH: But he did shine the shoes of Kennedy's grandson, John Kennedy Jr. Linwood says he is the last shoeshine man left on Wall Street.
I really had a bad year in the market, so I can't pay you right now, but I'm -- no, I'm going to pay you. Richard Roth, CNN, New York.
CARRANZA: You've probably noticed that Carl is off this week. But before he left, he broke out the video camera and talked to some of his co-workers about why they enjoy working at CNN Student News. You can check out their responses in the newest video on our Facebook page. Find it at Facebook.com/cnnstudentnews.
Before We Go
CARRANZA: Before we go, Halloween always brings out some interesting activities. Like Colorado's annual coffin race! At least, that's what these are supposed to be. They look more like man-powered go karts. Either way, the event seems to be a crowd pleaser. Basically, the boxes are put on wheels, and then contestants tear down a track that's nearly two football fields long! Of course, the coffin race is part of a seasonal festival...
CARRANZA: ...so it's just about fun. There are no grave consequences. We hope to see you again tomorrow as we wrap up the week. For CNN Student News, I'm Mandy Carranza.