Wednesday stocks fall amid questions about Fed plan

Dow now at 11,056, a fall of 112 points.

NEW YORK (AP) — Stocks slid Wednesday as concerns grew over whether the Federal Reserve’s plans to buy Treasury bonds might be smaller and slower than anticipated.
Another day of mixed earnings and economic reports also dragged down stocks. The Dow Jones industrial average fell nearly 130 points in afternoon trading.
Traders were disappointed with earnings at Sprint Nextel Corp. and ConocoPhillips. Procter & Gamble Co. was one of the few companies shares to rise after it beat forecasts.
Stocks had been rising in recent weeks because of some mostly upbeat earnings and mounting expectations that the Fed would embark on another round of bond-buying to stimulate the economy.
Traders have been anticipating the Fed would buy between $500 billion and $1 trillion in Treasurys to drive interest rates lower and encourage lending and spending. A report in The Wall Street Journal said the Fed’s bond purchases might amount to a few hundred billion dollars over several months, which would fall short of those predictions.

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