This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Stocks Tumble on Eurozone Uncertainty

NEW YORK ( TheStreet) -- Stocks lost ground Wednesday as worries about the stability of the eurozone bubbled up once again.

The major U.S. equity indices swooned late in the day following reports that Greek banks are seeing elevated levels of withdrawals ahead of the country's crucial general elections this weekend. The vote is being seen as a referendum on the austerity measures Greece will need to adhere to in order to remain part of the eurozone.

Adding to the concerns was news that Egan Jones cut its rating on Spain to CCC-plus from B. Reuters said the downgrade was the ratings agency's fourth cut for Spain since April.

The Dow Jones Industrial Average fell 77 points, or 0.62%, to close at 12,496. The blue-chip index, which ranged roughly 150 points during the day, has now fallen in two of the past three sessions.

The S&P 500 lost 9 points, or 0.70%, to close at 1315. The Nasdaq gave back more than 24 points, or 0.86%, to settle at 2819.

Stocks briefly went positive earlier in the session as much of the market's attention was on the morning's testimony of JPMorgan Chase (JPM - Get Report) CEO Jamie Dimon on Capitol Hill.

Within the Dow, 20 of the index's 30 components ended Wednesday down. The biggest blue-chip decliners included American Express (AXP), Caterpillar (CAT), DuPont (DD) and Home Depot (HD).

The biggest percentage gainers were Johnson & Johnson (JNJ) and JPMorgan. Three blue-chip stocks ended Wednesday flat: Coca-Cola (KO), AT&T (T) and Pfizer (PFE).

J&J's stock was boosted more than 2% by upgrades from Jefferies and JPMorgan, which lifted its rating to overweight and boosted its price target to $74 from $69. The firm cited an attractive valuation and said fundamentals "were on the upswing" at J&J. For its part, Jefferies raised its rating to buy from hold.

"Management has beaten expectations by re-engineering the financing of the Synthes merger," wrote Jefferies of J&J. "Instead of a dilutive stock issuance followed by a share buyback program, the company has borrowed stock through an accelerated share repurchase agreement, which transforms the transaction into an accretive deal."

Shares of JPMorgan gained 1.6% as Dimon's appearance before the Senate Banking Committee drew mostly positive reviews. Dimon said JPMorgan was looking at potentially clawing back pay from the executives behind the bank's $2 billion trading loss.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
CTCT $39.11 0.85%
JPM $60.96 2.37%
AAPL $126.37 2.53%
FB $83.20 -0.13%
GOOG $552.03 0.67%


DOW 17,976.31 +263.65 1.49%
S&P 500 2,086.24 +25.22 1.22%
NASDAQ 4,947.4410 +56.2220 1.15%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs