NEW YORK (AP) - Stocks were moderately lower Friday, pushed down, in part, by the price of oil. Investors continue to remain on edge regarding the possibility of the Federal Reserve raising interest rates at its meeting next week.
Banks also fell, led by a plunge in Deutsche Bank after the giant German lender said it wouldn't settle with the Department of Justice over its handling of mortgage securities in the run-up to the 2008 financial crisis.
The Dow Jones industrial average fell 88.68 points, or 0.5 percent, to 18,123.80. The Standard & Poor's 500 index fell 8.10 points, or 0.4 percent, to 2,139.16 and the Nasdaq composite fell 5.12 points, or 0.1 percent, to 5,244.57.
The U.S.-listed shares of Deutsche Bank dropped $1.38, or 9 percent, to $13.38 after the bank said it did not intend to pay the $14 billion settlement the U.S. government asked for. Federal regulators have been looking to settle with Deutsche Bank, as it has done with the other major Wall Street firms like Goldman Sachs and JPMorgan Chase & Co., for its role in the mortgage bubble and financial crisis.
Other European banks fell as well. Royal Bank of Scotland Group fell 30 cents, or 6 percent, to $4.86.
The news out of Deutsche Bank dragged European stocks lower, with Germany's DAX closing down 1.5 percent, France's CAC-40 index down 0.9 percent and the U.K.'s FTSE 100 index down 0.3 percent.
Stocks have been volatile this week, with the Dow moving more than 100 points four out of five days. Most of the volatility has come as investors prepare for next week's Fed meeting. While most investors do not expect a rate increase, there is a small but noticeable likelihood there will be one.
"By the Fed's own criteria, everything is in place for them to raise rates. But still, people don't think they are going to raise rates, so the market is in conflict," said David Kelly, chief global investment strategist at JP Morgan Asset Management.