Wednesday, February 23, 2011

Wall Street falls as oil climbs, tech shares drop

US stocks dropped for a second straight session as Libya's violence sent oil prices up briefly to $100 a barrel and tech shares sank, adding credence to calls for a market correction.

The Dow Jones industrial average fell 107.01 points, or 0.88 percent, at 12,105.78. The Standard & Poor's 500 Index lost 8.04 points, or 0.61 percent, to 1,307.40. The Nasdaq Composite Index declined 33.43 points, or 1.21 percent, to 2,722.99.

European shares extended losses to a third straight session, with concerns growing that higher crude prices could erode global growth as investors saw no quick end to the crisis in oil-rich Libya.

The pan-European FTSEurofirst 300 index of top shares ended down 1.1 percent at 1,152.04 points, its lowest close in more than three weeks.

Japan's Nikkei average extended losses as investors pull out of riskier assets, with turmoil in Libya driving crude oil prices near 30-month highs and sparking worries about slower global growth.

The Nikkei average closed down 0.8 percent, or 85.60

points, at 10,579.10 after falling to as low as 10,569.93. It lost almost 2 percent on Tuesday. The broader Topix dropped 1.0 percent to 946.88.