NEW YORK -- Stocks fell modestly today, erasing earlier gains as investors turned their focus to declining corporate profits and an overheating U.S. economy. Dow off 13.96
The Dow Jones industrial average fell 13.96 at close at 8,782.12. It was the fourth day of losses for the blue-chip index, which rose nearly 32 points in the first hour of trading today before sliding back.
Decliners led advancers by a 7-to-5 margin on the New York Stock Exchange, with 1,747 up, 1,237 down and 513 unchanged. NYSE volume was 496.70 million shares vs. 579.60 million Friday.
The Standard & Poor's 500-stock list fell 1.84 to 1,093.60, and the NYSE composite index fell 0.91 at 568.89. The Nasdaq composite index fell 4.92 to 1,818.70. The American Stock Exchange composite index fell 1.88 to 736.45 and the Russell 2000 index dropped 0.93 to close at 476.22.
The price of the Treasury's main 30-year bond was off 9/32 point, or $2.81 per $1,000 in face value, by late afternoon, while its yield rose to 5.98 percent from 5.96 percent late Friday. Prices and yields move in opposite directions.
Wall Street today was dragged down by mounting concerns that the Asian economic crisis will hurt corporate profits but won't slow the U.S. economy enough to prevent inflationary pressures.
Those worries were heightened today by a stronger-than-expected Commerce Department report showing that sales of new single-family homes jumped 4.8 percent in February to a record-breaking, seasonally adjusted rate of 893,000.
Investors worry that the Federal Reserve will soon have to raise interest rates to slow the economy and keep inflation in check. The Fed meets tomorrow but investors don't expect a rate hike yet.