US stocks drift lower on European debt worries

Salon Staff
April 5, 2012 6:27PM (UTC)

NEW YORK (AP) — Stocks slipped early Thursday on renewed fears over the European debt crisis.

The Dow Jones industrial average slipped 28 points to 13,047 in the first-half hour of trading. The Standard & Poor's 500 index fell 2 points to 1,397. The Nasdaq composite dropped a point to 3,067.


The slide follows broad declines in European stocks. Britain's FT-SE index fell 1 percent, Germany's DAX 0.3 percent.

Spain has become the latest point of concern in Europe's debt crisis. Investors are concerned over the ability of the country's government to push through cost-cutting programs at a time when its economy is heading for another recession.

Yields on 10-year Spanish bonds rose 0.08 percentage point to 5.74 percent, a sign that investors are less confident in the country's finances.

Six of the ten sectors in the S&P 500 index fell. Telecommunication companies fell the most, 1.8 percent.

Constellation Brands, a New York-based wine and spirits company, plunged 13 percent, the most in the S&P 500. The company's forecast for 2013 earnings was well below what analysts were expecting.

Bed Bath & Beyond jumped 7.2 percent, the most in the S&P 500, after the retailer reported a 25 percent surge in fourth-quarter profit, far more than analysts were forecasting. Sales at stores open for at least a year jumped 6.8 percent, well above Wall Street's estimate of 3.8 percent.


Also Thursday, the Labor Department reported that the number of people seeking jobless benefits fell to a four week low.

Salon Staff

MORE FROM Salon Staff


Read Now, Pay Later - no upfront
registration for 1-Hour Access

Click Here
7-Day Access and Monthly
Subscriptions also available
No tracking or personal data collection
beyond name and email address


Fearless journalism
in your inbox every day

Sign up for our free newsletter

• • •