Updated from 4:06 p.m. EDTTalk of a weaker dollar policy made for grim stock trading on Monday. After Treasury Secretary John Snow indicated he wouldn't support the "strong dollar" policies of his predecessors, the Dow Jones Industrial Average, which had rallied 7.5% since April 1, dropped 185 points, or 2.1%, to 8493. The Nasdaq, which had rallied 14% over the same span, fell 45 points, or 3%, to 1492, while the S&P 500 lost 23 points, or 2.5%, to 920. The dollar fell to its lowest level against the euro since January 1999 after Snow said over the weekend in Europe that the government won't determine the dollar's strength by its value against other currencies, but will instead use other measures, such as public confidence and anti-counterfeiting measures. The euro was up sharply at $1.1685. Market watchers said profit-taking following the recent stock market rally also was taking a toll on stocks. "The weak dollar is the excuse du jour. You've got a four-year low for the dollar at the same time the stock market is at 11-month highs," said Ken Tower, chief market strategist for CyberTrader. "This is just part of the topping process." Markets were ignoring better-than-expected economic data, with the Conference Board's index of leading economic indicators showing a gain of 0.1% for April, better than the consensus estimate of zero growth and March's slide of 0.2%. In industry-moving news, the Supreme Court has approved a program from the state of Maine that would require drugmakers to reduce prescription drug prices. While the high court warned that Maine's program might not hold up to future legal challenges, the news triggered a selloff in pharmaceutical names. The Amex drugmakers index slid 4.4%. Among corporate news, bankrupt phone company WorldCom ( MCWEQ), which now calls itself MCI, is reportedly in talks with the Securities and Exchange Commission to pay more than $400 million to settle charges related to accounting fraud.