NEW YORK — The Dow Jones industrial average of stocks slid Friday into bear market territory as investors fretted about the impact of record oil prices and mounting credit losses in the financial sector.

To begin a bear market cycle, or prolonged period of falling stock prices, the index needs to end the session at least 20 per cent below its closing peak, reached in October.

The Dow was down 124.98 points, or 1.09 per cent, at 11,328.44, which was 20 per cent below its record close on Oct. 9, 2007.