Last Call: Wachovia shares plunge

Wachovia Corp. shares dropped Thursday, amid steep declines in the broader market, as an unexpected spike in jobless claims and dour retail sales reports further rattled investors.

Wachovia shares lost $1.30, or 7.6 percent, to $15.88 in late afternoon trading. The stock has traded in a 52-week range of $7.80 to $53.10.

The Labor Department reported Thursday that new applications for unemployment benefits rose by 15,000 last week. Analysts had expected declines for a fourth consecutive week.

Meanwhile, many of the nation's retailers said shoppers curbed their spending last month in the face of higher gas and food prices. August is traditionally a big month for retailers as they court back-to-school shoppers.

Wachovia is among the banks hardest hit by the ongoing trouble in the credit and housing markets. Its stock has lost more than half its value this year. And as the end of the third quarter looms, its likely that investors are worried that the Charlotte, N.C.-based bank will report another hefty loss.