The Dow Jones Industrial Average fell 99.34 points, or 0.91%, to 10792.58.
The Big Board has now fallen 850 points since rising to within 80 points of its record high on May 10, a collapse similar to the beginning of the tech bust in 2000.
Analysts said investors were edgy and cautious in anticipation of two critical economic reports to be issued over the next two days: The Labor Department reports wholesale price inflation data for May on Tuesday; the next day comes May consumer-inflation results. The hope is that the data will mitigate fears of rising inflation at the Fed and at least temporarily halt its campaign to raise interest rates.
Among other indices, the Standard & Poor’s 500-stock index was off 15.90, or 1.3%, to 1236.40, and the Nasdaq Composite Index dropped 43.74, or 2.1%, to 2091.32.
–
Read the full Associated Press story
.
LOCAL
Among local stocks, the Walt Disney Co. ended the day off 1.4 percent at $28.90 after Citigroup cut its rating on Disney citing its recent run up and the possibility it would not hit its annual earnings targets. Despite bringing in $60.1 million over the weekend, the hit film Cars still fell short of some analysts who thought it box office take would surpass $70 million.
Local homebuilders Ryland Group Inc. and KB Home fell 3.9 percent and 3.2 percent, respectively, after Wachovia Securities issued a report that the national housing slowdown is “worse than we thought.” Ryland closed at $41.64, off $1.67; KB closed at $43.31, off $1.43.
Among other losers, Los Angeles-based Reliance Steel & Aluminum Co. fell $4.64, or 6.3 percent, to $69.42, after a Security and Exchange Commission filing that said Chief Financial Officer Karla McDowell was selling 25,000 shares of stock.
The leading gainer for the day was Bell Industries Inc. The El Segundo maker of aftermarket parts for the recreational vehicle industry was up 12.4 percent, or 32 cents, to $2.90. Newcastle Partners LP had purchased 75,300 shares, according to a Securities and Exchange Commision filing. That was more than three times the 20,400 company shares that changed hands Monday.
