Stocks lower with fiscal cliff and Greece in spotlight

Written By limadu on Senin, 26 November 2012 | 22.16

NEW YORK (CNNMoney) -- U.S. stocks opened lower Monday as investors returned to work with one eye on the results from the first weekend of the holiday shopping season, and the other on upcoming economic negotiations in Washington and Europe.

In the first full trading day since last Wednesday, the Dow Jones industrial average shed 76 points, or 0.6%. The S&P 500 slipped 0.5% and the Nasdaq composite lost 0.3%.

No major economic or corporate reports are expected, so investors will be looking for signs of an economic recovery in retail sales. On Sunday, the National Retail Federation reported that the Black Friday weekend brought in a record $59.1 billion in sales, up 13% from last year.

Abercrombie & Fitch (ANF) shares rose more than 2%, making it the strongest performer in the S&P 500, on reports that the retailer has a solid sales weekend.

On Friday, U.S. stocks rallied in a holiday-shortened trading day, led by gains in retail stocks.

Fear & Greed Index

Investors will also be looking again at the fiscal cliff. Congress is back in session, and lawmakers will be under pressure to reach a deal with the White House before the end of the year.

Meanwhile, eurozone finance ministers are meeting for the third time to discuss the latest release of bailout funds for Greece. European stocks were all lower in afternoon trading, with London's FTSE off 0.5%, the CAC 40 in Paris down 0.3%, and the German DAX slipping 0.7%.

Asian markets ended mixed. The Shanghai Composite lost 0.5% and the Hang Seng in Hong Kong slid 0.2%, while Japan's Nikkei added 0.2%.

Companies: Shares of Knight Capital (KCG) jumped after a report late Friday in the Wall Street Journal said the trading firm is weighing the sale of its market-making business, the unit whose trading glitch in August that cost the company more than $400 million.

Research in Motion (RIMM) shares gained ground, as investors are hopeful the BlackBerry 10, debuting Jan. 30, will signal a turnaround for the company. A bullish analyst report triggered a rally Friday, with the stock rising 14%.

Currencies and commodities: The dollar gained on the euro and the British pound but lost ground versus the Japanese yen.

Oil for January delivery slipped 70 cents to $87.58 a barrel.

Gold futures for December delivery lost $1 to $1,750.40 an ounce.

Bonds: The price on the benchmark 10-year U.S. Treasury edged higher, pushing the yield down to 1.66% from 1.69% Friday. To top of page

First Published: November 26, 2012: 9:44 AM ET


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