Stocks Dinged on Fitful Outlook for Eurozone
NEW YORK ( TheStreet) -- U.S. stocks fell Monday, reversing morning gains, on concern the painful bailout measures forced on Cyprus's citizens and Russian depositors has set a troubling precedence for other troubled Eurozone nations, most notably Italy and Spain.
"While the Cypriot banking package has averted imminent disaster, the episode will have damaging effects on Cyprus's economy and has raised new questions over the stability of the currency union," said Jonathan Loynes, chief European economist at Capital Economics in London in a note.
The S&P 500 fell 0.33% to 1,551.69 after gaining as much as 0.52%.
Red Hat (RHT) shares slid 3.6% to $48.99 after the largest seller of Linux operating system software was cut to "market perform" from "outperform" by Raymond James analyst Michael Turits, who warned that the company's fiscal 2014 revenue guidance may disappoint as the company is at risk of a slowdown in Linux growth.Shares of eBay (EBAY) sank on Monday as a Stifel Nicolaus analyst of the stock questioned how new fees from Mastercard (MA) and Visa (V) would affect margins on the company's PayPal segment. Shares lost 3.7% to close at $51.31. The Dow Jones Industrial Average finished lower by 0.44% to 14,447.75 while the Nasdaq dropped 0.3% to 3,235.30. European markets turned lower as safe-haven assets attracted buyers. The FTSE 100 in London fell 0.22% and the DAX in Germany declined 0.51%. The benchmark 10-year Treasury was advancing by 2/32, lowering the yield to 1.923%. The dollar was popping 0.62%, according to the
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