US stocks fall on broad concern about Europe
Tuesday, March 26, 2013
Stocks reversed an early rise on Wall Street Monday as traders returned to worrying about the European economy.
Optimism about a deal to prevent financial collapse in Cyprus had briefly pushed the Standard & Poor’s 500 index to within a quarter-point of its record closing high, but stocks soon turned negative.
The S&P 500 and Nasdaq composite index both closed down 0.3 percent. The Dow Jones industrial average slipped 0.4 percent.
Stocks turned negative about an hour into the trading day Monday as the initial euphoria about Cyprus’ deal to secure 10 billion euros in emergency funding was overshadowed by renewed concerns about the European economy.
The fear intensified after a top European official indicated that investors in struggling banks may be forced to take losses — an element of the Cyprus agreement that had previously been seen as unique to that country.
The S&P 500 closed down five points at 1,551.69. The loss was offset in part by big jumps for Apollo Group Inc. and McGraw-Hill Cos. Computer maker Dell Inc. also supported the index as a bidding war broke out among investors who want to take the company private.
The Dow fell 64 points to 14,447.75. The Nasdaq dropped nine to 3,235.30.
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