Stocks Take Another Drubbing

Overseas, European bourses declined in the wake of cautious remarks by UBS (UBS Quote). London's FTSE lost 1.2%, and Frankfurt's DAX was down 0.7%. Overnight in Asia, Tokyo's Nikkei gained 0.3%, and Hong Kong's Hang Seng added 0.5%.

Switzerland's UBS dropped 4.8% after warning that earnings for the second half of 2007 would fall from year-ago levels because of the recent market conditions. The bank, however, did post a 79% jump in second-quarter earnings, topping estimates. UBS shed $2.60 to $51.49.

Another loser was Mattel (MAT Quote), whose stock lost 2.4% following an announcement that it would recall millions of toys that were made in China, marking its second product recall in recent weeks. Mattel gave back 57 cents to $23.

One of the best performers was VMware (VMW Quote), an EMC (EMC Quote)-owned software company that jumped more than 70% in its market debut.

Away from equities, the September front-month oil contract was 76 cents higher to finish at $72.38 a barrel. Gasoline tacked on 3.5 cents at $1.97 a gallon.