Euro Zone Worries Weigh on Stocks

U.S. stocks slipped at Monday’s start as Italy and Greece rushed to form technocrat-led governments in a bid to stave of the euro zone’s debt crisis, and as data showed the region is facing a looming recession. The Dow Jones Industrial Average lately fell 42.91 points to 12,110.77. The S&P 500 fell 9.29 points to 1,254.56. The Nasdaq Composite declined 13.74 points to 2,665.01.

Former European Commission member Mario Monti was tapped by Italy’s president to form a new government. That came a day after Prime Minister Silvio Berlusconi resigned and the government passed a debt-cutting budget bill.

Industrial production in the euro zone fell in September, supporting expectations of a sharp contraction of industry and a probable economic recession. Output at factories in the 17-nation bloc fell 2.0 percent for the month.

Warren Buffett said his Berkshire Hathaway Inc has accumulated a 5.5 percent stake in IBM, the billionaire investor’s biggest bet in the technology field he has historically shunned.

Shares in Olympus Corp rose by the maximum allowed on Monday on signs the scandal-hit maker of cameras and endoscopes may escape having its shares de-listed. A source familiar with the case said on Sunday that Japan’s securities watchdog may only recommend a fine against the company, while proposing criminal charges be sought against the individuals behind dubious M&A deals used to cover up its massive investment losses.

Emirates airline placed a blockbuster order for 50 Boeing (NYSE:BA) 777 jetliners at the Dubai Air Show on Sunday, underscoring the confidence brimming among fast-growing Gulf airlines despite growing fears of stalling global growth.

Industrial Services of America Inc. reported a net loss of $4.5 million, or 65 cents a share, for the third quarter. Revenue for the quarter dropped to $55.8 million from $76.6 million.

QR Energy L.P. on Monday reported net income of $51.9 million for the third quarter, mostly from unrealized gains on long-term commodity investments. Its earnings amounted to $1.45 per unit for the three months ended Sept. 30. It generated $28.7 million in revenue for the quarter.

About the Author

has written 14193 stories on this site.

Copyright © 2012 Nine Stocks