US stocks fall as European debt crisis festers

Associated Press
In a May 29, 2012 photo trader Patrick McKeon, left, works on the floor of the New York Stock Exchange.   Futures augured a lower opening on Wall Street Monday June 18, 2012 with Dow Jones industrial futures   and S&P 500 futuresboth down 0.4 percent  (AP Photo/Richard Drew)
.

View photo

In a May 29, 2012 photo trader Patrick McKeon, left, works on the floor of the New York Stock Exchange. Futures augured a lower opening on Wall Street Monday June 18, 2012 with Dow Jones industrial futures and S&P 500 futuresboth down 0.4 percent (AP Photo/Richard Drew)

U.S. stocks are falling after the opening bell as Europe's debt crisis roils markets despite the victory of a pro-Europe party in Greek elections.

Spanish borrowing rates spiked Monday above levels that forced other countries to take bailouts. That means bond investors fear that Spain will default on its debts.

Greek voters elected a party that wants to continue a regime of international bailouts that hinge on painful budget cuts. A Greek exit from the euro appears less likely as a result. Avoiding that disastrous outcome failed to comfort traders eager for a more permanent resolution to the crisis.

The Dow is down 50 points at 12,717 in the first ten minutes of trading. The S&P 500 is off five at 1,337. The Nasdaq is down 11 at 2,861.

View Comments (0)