• Will the NPA stand up?

    Solly Moeng wonders if the NPA head will reinstate criminal charges against president Zuma.

  • Commodity currency

    Jac Laubscher asks if the true exchange rate of the rand is really a cue from commodity prices.

  • Accoutable government

    Mandi Smallhorne says government should be taken to court for its wasteful expenditure.

All data is delayed
See More

Wall St falls on Greek debt deal worries

Nov 28 2012 07:35

New York - US stocks fell on Tuesday as fiscal cliff worries overshadowed encouraging US economic data and investors shrugged off Greece's revised bailout deal.

The Dow Jones Industrial Average shed 89.24 points (0.69%) at 12,878.13.

The broad-market S&P 500 lost 7.35 (0.52%) at 1,398.94, while the Nasdaq Composite slid 8.99 (0.30%) to 2,967.79.

Investors remained focused on Washington where Democratic Senator Harry Reid said little progress had been made in budget negotiations, Briefing.com analysts said.

"After the Senate majority leader's comments, the S&P 500 fell to session lows from its flat line," and declined further in a final round of selling pressure.

European markets closed higher after the Greek deal, which allows Athens to trim its debt load through bond buybacks and reduced rates, and promises new rescue loan installments of €43.7bn through March.

But critics said Greece's creditors, the European Union and the International Monetary Fund, had again "kicked the can down the road" with the new arrangement.

"We think that Greece will eventually need a much larger debt relief, but any agreement on this is unlikely to happen before German elections next fall," said Tullia Bucco of UniCredit Research.

Trade was heavy in food manufacturer Ralcorp Holdings, which surged 26.4% after ConAgra Foods set a deal to buy it for $6.8 billion, including assuming Ralcorp debt. ConAgra gained 4.7%.

The Dow's biggest laggards were Hewlett-Packard, down 3.1%, American Express, off almost two percent and United Health, 1.6%.

Intel led the nine gainers, up 0.6%.

Casino operator Las Vegas Sands jumped 5.2% after it announced a special dividend to be paid before year-end, aiming to avoid higher dividend taxes that will likely result from deficit-slashing negotiations under way in Washington.

On the Nasdaq, Research in Motion, the BlackBerry maker, dived 10.4% despite an upgrade from CIBC World Markets.

Apple shares fell 0.8% after Monday's 3.2% gain.

Bond prices rose slightly. The 10-year US Treasury yield dropped to 1.65% from 1.66% on Monday, and the 30-year fell to 2.79% from 2.80%.

Bond prices and yields move inversely.

wall street  |  markets


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


Marketing is a big concern in SA's small business community, followed by a lack of confidence and partnering with the wrong people, according to a survey.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

The drop in inflation:

Previous results · Suggest a vote