TODAY'S PAPER
69° Good Afternoon
69° Good Afternoon
Business

Stock rally fizzles out

Specialist James Maher, second from right, works at

Specialist James Maher, second from right, works at a post on the floor of the New York Stock Exchange. The Dow Jones industrial average rose 22 points to 13,096 shortly after 10 a.m. on Monday, July 30. (July 17, 2012) Photo Credit: AP

A two-day rally that sent stocks soaring last week fizzled out Monday. European leaders vowed Thursday and Friday to keep the euro union intact, and investors sent stock markets shooting higher. But stocks were little changed Monday as investors waited to see if they would back up their words with action.

The Dow Jones industrial average sank 2.65 points to 13,073.01. The Standard & Poor's 500 index fell 0.05 percent to 1,385.30; the Nasdaq dropped 0.41 percent to 2,945.84.

U.S. Treasury Secretary Timothy Geithner met separately with Germany's finance minister and the head of the European Central Bank, Mario Draghi, Monday. Draghi's pledge to do whatever was needed to protect the euro set off a market rally last week.

Hopes are high that Draghi will announce plans to support the euro when the central bank meets Thursday, said David Brown, the CEO and chief market strategist at the research firm Sabrient.

Investors are also looking toward the Federal Reserve's meeting this week. Many in the financial markets believe the Fed will take new steps to stimulate the economy in coming months. The Fed will release its statement on interest rate policy Wednesday afternoon. -- AP

Comments

We're revamping our Comments section. Learn more and share your input.

More news