Wall Street dropped for a third day on Friday on worries about the Italian banking sector and Greece's debt crisis, but the S&P 500 managed to hold its 200-day moving average in a sign buyers still see value.
The Dow industrials and the S&P 500 fell for their seventh week in the last eight. The benchmark S&P 500 is down 7 percent from its 2011 closing high at the end of April.
Investors are fearful that Greece's government may fail to pass an austerity plan next week, which could force a default on its debt repayments. The government faces an electorate vehemently opposed to the austerity measures.
The Dow Jones industrial average .DJI dropped 115.42 points, or 0.96 percent, to 11,934.58 at the close. The Standard & Poor's 500 Index .SPX fell 15.05 points, or 1.17 percent, to 1,268.45. The Nasdaq Composite Index .IXIC lost 33.86 points, or 1.26 percent, to 2,652.89.
For the week, the Dow fell 0.58 percent and the S&P 500 shed 0.24 percent, while the Nasdaq gained 1.39 percent. (commentary & photo courtesy Reuters)
Another bad market day and another bad week too. I purchased a position in RSI’s latest pick MLPL. It was one of the few winners today.
No new RSI picks today … have a great weekend.