US STOCKS-Growth worries, financials push Wall St lower
* U.S. banks follow European peers lower
* Cognizant falls after weak forecast
* Indexes down: Dow 1.1 pct, S&P 1.4 pct, Nasdaq 1.8 pct (Updates to late afternoon)
By Caroline Valetkevitch
Feb 8 (Reuters) - U.S. stocks dropped on Monday as concern over global growth hit banks and other economically sensitive shares, but a late rally in energy shares left the market well above its lows of the day.
European banks led a global selloff in financial shares as signs of stress in the sector mounted.
Uncertainty over whether the U.S. Federal Reserve will raise rates this year also dragged down U.S. bank stocks, pushing the S&P financial index down 2.6 percent. It is now off 14.6 percent for the year, making it the worst-performing of the 10 major S&P sectors.
"Investors' attitudes seem to be worsening relative to the likelihood of a global recession. I think that's what financials are reflecting - that their net interest margins are going to be further compressed under collapsing bond yields," said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia.
The yield on the 10-year Treasury note fell to a one-year low of 1.735 percent. Continuación...