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.
