Wall Street falls for 3rd day
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Xinhua, September 7, 2011
Wall Street fell for the third straight day on Tuesday as concerns over European debt problems and weak U.S. economic outlook weighed heavily on the market.
The Dow Jones industrial average ended 100.96 points, or 0.90 percent, to 11,139.30 after plunging more than 300 points in the morning session.
The Standard & Poor' s 500 dropped 8.73 points, or 0.74 percent, to 1,165.24, with all its 10 big-cap sectors ending lower.
The tech-heavy Nasdaq Composite Index dropped 6.50 points, or 0. 26 percent, to 2,473.83, erasing most of early losses.
The decline came after European stock markets suffered steep losses on Monday, when U.S. market was closed for the Labor Day holiday.
Negotiations between Greece and international lenders stalled on Friday amid disagreement over the nation's austerity plans, reminding investors that the debt problems in Europe were far from settled and very likely to spread to more countries.
What's more, there are signs that voters in Germany were more and more frustrated and disappointed in the way the government has handled the European debt crisis. Analysts said that the political measures in Germany may prevent the number one economy from doing more to help other Euro zone countries.
Financial were leading the decliners after the federal housing finance agency filed suits against more than a dozen big banks on Friday, accusing them of misrepresenting the quality of mortgage securities they assembled and sold at the height of the housing bubble.
European banks traded in the U.S. were hit most, with UBS plummeting more than 10 percent at the close. U.S. banks also suffered, with both Bank of America and JP Morgan Chase losing more 3 percent.
The U.S. economic situation is also worrisome. The closely- watched non-farm payrolls report showed Friday that the U.S. economy added no new jobs in August, which was the worst showing in a year and provided fresh evidence the jobs market was struggling.
In other markets, the U.S. dollar rose against major currencies in late New York trading, while U.S. crude oil fell on weaker global demand.
Light, sweet crude for October delivery fell 43 cents, or 0.50 percent to settle at 86.02 dollars a barrel on the New York Mercantile Exchange.
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