Stocks dip ahead of eurozone summit
It was a long drift down Tuesday on the New York Stock Exchange as stock prices struggled against weak earnings reports and a new survey that shows Americans are still not in a shopping mood. (Oct. 24, 2011) Credit: AP
U.S. stocks dropped about 2 percent Tuesday, arresting a three-day rise for the Dow and Standard & Poor's 500 indexes, with investors wary before the euro-area summit Wednesday and as earnings and outlooks from a few bellwethers weighed shares down.
The Dow Jones industrial average closed down 207 points, or 1.74 percent, at 11,706.62, touching session lows in the final minutes of the trading day. The drop was the biggest decline in just more than a week.
Shares of 3M Co. were the largest weight, off 6.25 percent after the industrial conglomerate said earnings fell 2 percent in the third quarter and cut its 2011 profit forecast. Engine maker Cummins Inc. shares shed 5 percent after it cut its full-year revenue estimate.
Also, Netflix Inc. shares fell nearly 35 percent after the video-rental firm said it lost 800,000 subscribers in the third quarter, more than anticipated.
The S&P 500 index dropped 25.14 points, or 2.00 percent, at 1,229.05. The index's financial sector fell 3.1 percent, leading declines for all 10 industry groups. After a two-day rise, the Nasdaq composite index skidded 61.02 points, or 2.26 percent, at 2,638.42, erasing its gains for the year. Oil futures rose to a 12-week high and finished up $1.90 at $93.17 a barrel.
-- MarketWatch
Sarra Sounds Off Ep. 35: EI baseball, girls lacrosse and plays of the week On the latest episode of "Sarra Sounds Off," we look at East Islip baseball's inspirational comeback story, Jared Valluzzi has the plays of the week and Tess Ferguson breaks down the top defensive players in girls lacrosse.
Sarra Sounds Off Ep. 35: EI baseball, girls lacrosse and plays of the week On the latest episode of "Sarra Sounds Off," we look at East Islip baseball's inspirational comeback story, Jared Valluzzi has the plays of the week and Tess Ferguson breaks down the top defensive players in girls lacrosse.
