U.S. stocks fell on Wednesday on fresh concerns over revival of the Eurozone as protests in Spain over austerity measures dimmed the chances of debt-laden countries being able to reduce their debt burden.
Violent protests were seen in the Spanish capital city of Madrid as people revolted against the government’s decision to impose austerity measures on the citizens.
Catalonia, the economically wealthy region and of economically strategic importance to Spain also announced elections in a bid to separate itself from the country.
Greece was also the scene of protests against an austerity drive, even as international lenders debated how best to solve the debt crisis in the country.
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Analysts said that there would be difficulties in implementing the austerity measures as there was wide disagreement between policy makers and the people on the streets.
For the day, the Dow Jones industrial average was down 44.04 points, or 0.33 percent, at 13,413.51. The Standard & Poor's 500 Index was down 8.27 points, or 0.57 percent, at 1,433.32. The Nasdaq Composite Index was down 24.03 points, or 0.77 percent, at 3,093.70.
Last week the markets were more upbeat as both the U.S. Federal Reserve and the European Central Bank had taken a series of measures which looked as if they might just solve the economic crisis gripping the.
The main drivers for the stocks have been tied to policy actions by the U.S. and European governments and analysts said that the markets would be waiting for further cues from them.
Analysts are expecting stocks to move up in the long term, especially in the first half of 2013, when more clarity could be expected from the actions of the central banks.
Netflix, Inc.(NASDAQ:NFLX) was up 2.50% to $55.13, rebounded from its slump.
Clearwire Corporation(NASDAQ:CLWR) was among the notable gainer 4.73% and resumed its uptrend. Alpha Natural Resources, Inc.(NYSE:ANR) surged 0.76% to $6.59.
Peregrine Pharmaceuticals(NASDAQ:PPHM) was the most volatile stock and ended lower by 2.36% to $1.66, off session high of $1.94. The stock has lost 60% on news that previously released results from a midstage cancer drug study aren't reliable because of a third-party error in conducting the study. The news erased a tenfold increase in the company's stock price this summer and removed almost a half-billion dollars in market value for the Tustin, Calif., drug maker.
Google Inc(NASDAQ:GOOG) was the notable gainer and became the 5th most valuable company. Google meteoric rise stems from a number of factors. The company has been busy with its Android operating software and upgrades made to it as more handset makers are using it for their phones.
Advanced Micro Devices, Inc.(NYSE:AMD) ended up by 1.22% to $3.32, off 3-year low of $3.22 earlier in the session after announcing the departure of its Chief Financial Officer Thomas Seifert.