Investors soured on news about weakness in the services sector as oil prices dropped on increased stockpiles. The Dow tumbled 111 points to close at 14,550. Nasdaq joined the sell-off by giving up 36 points to finish the session at 3218.
On the upside
Sucampo Pharmaceuticals (Nasdaq: SCMP) was upgraded by Cantor Fitzgerald. The company makes drugs that treat chronic constipation and bowel ailments.
Investors were pleased with a Wall Street Journal report that Fifth & Pacific Cos (NYSE: FNP) is considering the sale of Lucky Brand and Juicy Couture brands.
Shares of Apple (Nasdaq: AAPL) bucked the sell-off on optimism that the company may be planning the simultaneous launch of low-cost phones and larger screen iPhones as well as the Apple iTV.
On the downside
ConAgra Foods (NYSE: CAG) posted 3rd quarter earnings that missed expectations even though it reaffirmed full-year guidance.
Consumer Portfolio Services (Nasdaq: CPSS) sold $185 million in notes secured by automobile financing receivables.
After hitting a 52-week high yesterday, shares of Tenet Healthcare (NYSE: THC) sold off on heavy volume. Some investors worried that government reimbursement policies may favor insurers over hospital operators.
In the broad market, declining issues outpaced advancers by a margin of more than 3 to 1 on both the NYSE and Nasdaq. The broader S&P 500 index fell 16 points to close at 1553.