Fiscal Pressures in Spain Trouble US Markets
(NEW YORK) — The markets developed a new case of worries about Europe, particularly Spain, and stocks sank after three previously strong sessions.
The Dow ended the week down 121 points, falling to 12,823. The Nasdaq and S&P 500 also lost 41 points and 14 points, respectively.
Spain’s financial problems have taken a turn for the worse after the heavily indebted region of Valencia asked Madrid for help. The Spanish government is predicting even more recession next year, and that’s prompted investors to dump stocks and government bonds.
Not surprisingly, markets in Europe also suffered losses with the Stoxx Europe 600 finishing the week down 1.4 percent, and Spain’s IBEX-35 falling 5.8 percent.
Copyright 2012 ABC News Radio