Uncertainty over Europe pushes Wall Street down 2 per cent
Concern about Europe's determination and ability to see through its debt rescue plan depressed US markets on Monday, erasing much of last week's euphoric rise after the plan was adopted, DPA reported.
The filing for bankruptcy by MF Global Holdings Ltd, a broker-dealer firm, also worried investors. Much of its losses came from losing bets on European sovereign debt.
The blue-chip Dow Jones Industrial Average dropped 276.10 points, or 2.26 per cent, to 11,955.01. The broader Standard & Poor's 500 Index shed 31.79 points, or 2.47 per cent, to 1,253.30. The technology-heavy Nasdaq Composite Index dipped 52.74 points, or 1.93 per cent, to 2,684.41.
The US currency leaped against the euro to 72.16 euro cents from 70.68 euro cents on Friday. The dollar also rose strongly against the Japanese currency to 78.19 yen from 75.83 yen.