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NEW YORK -- Stocks fell sharply today as investors, unnerved by an unexpected revenue warning from Intel, gave up hope that the economy and earnings would soon improve. Dow falls 213;
Nasdaq sinks 116Associated Press
The Dow ended a five-day winning streak and skidded 213.63 to 10,644.62. The Nasdaq composite index plummeted 115.95 to 2,052.78, its lowest close since Dec. 17, 1998 when it stood at 2,043.88. The broader Standard & Poor's 500 index dove 31.32 to 1,233.42.
Decliners led advancers on the New York Stock Exchange with 1,992 down, 1,075 up and 193 unchanged at the close. Volume was 1.08 billion shares, down from 1.12billion yesterday. The NYSE composite index slipped 10.29 to 628.86. The American Stock Exchange slipped 1.96 to 931.28 and the Russell 2000 index fell 7.84 to 473.65.
The Treasury's 10-year note fell 12/32 to 100 15/32; its yield rose 5 basis points to 4.94 percent. The 30-year bond fell 12/32 to 100 23/32; its yield rose 2 basis points to 5.33 percent.
In addition to the latest bad news from the tech sector, the market was smarting from a Labor Department report that said the nation's employers created 135,000 jobs in February, well ahead of analysts' forecasts of about 75,000.
The data, indicating increasing strength in the economy, might relieve some pressure on the Federal Reserve to lower interest rates as a way of stimulating business activity.
Analysts said the market now expects the Fed to lower rates by a quarter point, or perhaps not at all, when it meets March 20. Wall Street had been hoping for a half-point reduction.