International Tensions, Financial Fears Rock Stocks

Rising international tensions and fear of systemic problems in the U.S. sent stocks sprawling on Monday.

Reports of an advanced nuclear program in Iran, another missile firing by North Korea, and a looming UN vote on Iraq provided the international drama. And comments by St. Louis fed President William Poole that mortgage giants Fannie Mae and Freddie Mac are undercapitalized sent shock waves through the U.S. financial system.

The Nasdaq plunged 26 to 1275, the S&P 500 fell 21 to 807, and the Dow lost 171 to 7568. Volume declined to 1.21 billion shares on the NYSE, and 1.1 billion on the Nasdaq. Decliners led 24-8 on the NYSE, and 22-9 on the Nasdaq. Downside volume was 94% on the NYSE, and 78% on the Nasdaq. New highs-new lows were 79-258 on the NYSE, and 35-127 on the Nasdaq.

AMD gained 5.3% on an upbeat outlook. Intel , off 0.7%, began shipping new Xeon chips.

Microsoft , off 2.6%, released its latest Office beta.

AT&T Wireless and US Cellular fell on a massive license swap.

BEA ticked up 0.2% on a rapid application software deal.

GTSI fell 30.5% on a warning.

HP , off 2%, released a super slim server.

EMC , off 5.7%, unveiled a content storage initiative.

CIC unveiled a new Palm product in hopes of staying listed.

And Aberdeen became the latest research firm to predict an uptick in IT spending.

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