Stocks Finish Lower on Stronger Dollar
NEW YORK ( TheStreet) -- Stocks finished deep in the red Friday, as Greece's wobbly financial situation gave the dollar a lift against the euro.
The Dow Jones Industrial Average fell 100 points, or 0.8%, to settle at 12,596. The S&P 500 was lower by 11 points, or 0.8%, at 1338, and the Nasdaq Composite was off by 35 points, or 1%, at 2828.
Although gross domestic product in the eurozone grew by a better-than-expected 0.8% in the first quarter of 2011, concerns that Greece's budget deficit will surpass the limit set under its bailout terms pressured the euro.According to a European Commission statement quoted by Bloomberg, Greece's deficit is projected to be 9.5% of GDP in 2011, compared with the 7.4% target set by the European Union and the International Monetary Fund. On May 16, eurozone finance ministers will meet to discuss additional options for Greece. The euro fell 1% against the dollar and the dollar strengthened against a basket of currencies with the dollar index up 0.8%. Earlier, the FTSE in London declined 0.3%, and the DAX in Frankfurt shed 0.6%. Hong Kong's Hang Seng gained 0.9%, while Japan's Nikkei lost 0.7%. Financial, conglomerate and basic material stocks bore the brunt of declines. Travelers (TRV), JPMorgan Chase (JPM), Bank of America (BAC) and Caterpillar (CAT) were the Dow's biggest laggards. McDonald's (MCD) and Kraft Foods (KFT) were the only components that settled in positive territory. The Labor Department's
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