US STOCKS-Wall St ends lower on angst over Portugal's bank woes

jueves 10 de julio de 2014 16:59 GYT
 

* Portuguese, Italian markets slide, weigh on Europe

* Lumber Liquidators tumbles after revised outlook

* Icahn says time to be cautious about U.S. stocks

* Dow off 0.4 pct; S&P off 0.4 pct; Nasdaq off 0.5 pct (Updates to the close)

By Angela Moon

NEW YORK, July 10 (Reuters) - U.S. stocks dropped on Thursday as concerns about the financial health of Portugal's top listed bank gave investors a reason to cash in recent gains.

With the Dow and the S&P 500 near record highs, the slide in Europe triggered by financial shares quickly translated into broad selling on Wall Street. The S&P 500 briefly lost 1 percent earlier, a daily drop the benchmark has not seen since April 10.

Espirito Santo Financial Group, the largest shareholder in Portugal's Banco Espirito Santo, suspended trading in its shares and bonds, citing "material difficulties" at parent company ESI. The bank's shares tumbled 17.2 percent. Portugal's benchmark stock index fell 4.2 percent and Italy's FTSE MIB slid 1.9 percent.

The S&P 500 financial sector index fell 0.5 percent. Wells Fargo & Co, a component of the S&P financial index, fell 0.7 percent to $51.81. The bank will report earnings on Friday.   Continuación...