Monday, March 28, 2011

Wall Street rally fizzles in lowest volume of 2011

US stocks fell as the corporate outlook was clouded ahead of earnings and uncertainty continued to creep from abroad, while volume hit its lowest level of the year.

The Dow Jones industrial average lost 22.71 points, or 0.19 percent, to 12,197.88. The Standard & Poor's 500 Index fell 3.61 points, or 0.27 percent, to 1,310.19. The Nasdaq Composite Index fell 12.38 points, or 0.45 percent, to 2,730.68.

European shares edged higher on Monday, with tech stocks Alcatel-Lucent and Nokia lifting the sector after a ratings upgrade.

The pan-European FTSEurofirst 300 .FTEU3 index of top shares closed 0.1 percent higher at 1,125.47 points on volumes of 65 percent of the 90-day average, reflecting caution amid ongoing turmoil in the Arab world and Japan's nuclear crisis.

The Nikkei average fell after weekend reports of soaring radiation levels at a damaged nuclear plant, adding to investors' worries over disrupted supply chains and power cuts already biting into corporate earnings after Japan's earthquake and tsunami.

The benchmark Nikkei ended the day down 0.6 percent or 57.60 points at 9,478.53. The broader Topix finished marginally higher at 857.85.