U.S. Market Bleeds As Euro Tumbles And Italian Borrowing Costs Rise; Commodities Break Down

 Dec 14, 2011 |

 

As a tumbling euro currency and rising borrowing costs for Italy kept investor anxiety levels elevated, the U.S. market closed the day on a new low.

The Dow Jones industrial average fell 1.11 percent or 131.46 points to close at 11,823.48. The Standard & Poor's 500 index was down 1.13 percent or 13.91 points to close at 1,211.82. The Nasdaq Stock Market Inc. composite index lost 1.55 percent or 39.96 points to close at 2,539.31.

Hot Stocks of the Day: CVX, RIG, DOW, BP, FSLR, MMM

Shares of Chevron Corp. (NYSE: CVX) fell 2.87 percent, or $2.97, to close at $100.65, and shares of Transocean Ltd. (NYSE: RIG) were down 3.87 percent, or $1.60, to close at $40.22, amidst reports that authorities in Brazil are suing both companies for $11 billion and asked the energy companies to suspend activities in the country in the wake of an oil spill last month. The lawsuit alleges environmental damage and the prosecutor also requested an injunction to stop the companies' operations in Brazil under the penalty of a daily fine of $500 million.

Shares of Dow Chemicals Co. (NYSE: DOW) as the Indian Olympic Association plans to ask Olympic organizers to remove Dow Chemical as a sponsor of next year's London games, protesting the company's link with the Bhopal, India, industrial accident that killed and injured thousands in 1984. Shares of Dow lost 1.48 percent, or $0.35, to close at $25.40.

BP Plc (NYSE: BP) has bid for the right to drill for more oil in the Gulf of Mexico by participating Wednesday in the first auction of Gulf-based drilling leases since the Deepwater Horizon oil spill. Shares of BP were down 1.23 percent, or $0.50, to trade at $41.15.

First Solar, Inc. (Nasdaq: FSLR) forecast 2011 net sales of $2.8 billion to $2.9 billion, down from its prior guidance of $3 billion to $3.3 billion. First Solar said it expects earnings of $5.75 to $6 a share. It previously expected profit of $6.50 to $7.50 a share. Analysts expect First Solar to earn in 2011 $6.88 a share. Shares slumped 21.26 percent, or $.03, to close at $33.55.

3M Co. (NYSE: MMM) said Wednesday it expects around 1,000 U.S.


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