in the European Union off guard.
Heavy machinery maker Caterpillar Inc (CAT.N) slid 2.8 percent to $61.44, while shares of Boeing Co (BA.N) fell 2.2 percent to $66.21. The S&P industrial index .GSPI dropped 1.25 percent.
But not all the news was bad
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The Dow Jones industrial average .DJI slid 66.58 points, or 0.63 percent
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At the close, both the Dow and the Nasdaq had climbed back into positive territory for the year, while the S&P 500 was just 0.05 of a point below where it ended 2009.
S&P 500 FINDS A FLOOR
The S&P 500 briefly fell below its 200-day moving average, a key technical long-term momentum indicator. But its rebound off that level reinforced it as support going forward.
Declining stocks outnumbered advancing ones on the New York Stock Exchange by a ratio of about 4 to 1, while on the Nasdaq
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"Given this is the fifth consecutive day of poor NYSE breadth, which is an extreme reading, I expect a bounce to take hold shortly, assuming the euro doesn't get hit again," said Elliot Spar
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HARD KNOCKS FOR HOME BUILDERS
Housing stocks took a hit as data showed demand for loans to buy homes sank to a 13-year low last week following the expiration of a home buyer's tax credit.
Shares of timber company Weyerhaeuser Co (WY.N) fell 1.2 percent to $43.90 and home builder Hovnanian Enterprises (HOV.N) dropped 4.3 percent to $6.17. The PHLX housing index .HGX fell 1.5 percent.
Stock indexes barely budged after the Federal Reserve gave an upbeat outlook of the U.S. economy in the minutes of the most recent meeting of its policy-setting committee.
Data showed the