Eurozone worries send US stocks down more than 1pc

NEW YORK: US stocks sank Wednesday as cracks appeared in the eurozone's fiscal discipline deal and Italy was forced to pay record interest rates in a new bond issue.

In closing trade, the Dow Jones Industrial Average was down 131.39 points (1.10 percent) at 11,823.55.

The broader S&P 500 lost 13.91 points (1.13 percent) to 1,211.82, while the Nasdaq Composite dropped 39.96 (1.55 percent) to 2,539.31.

"A declining euro currency is weighing on investors, renewing fears on the bloc's debt crisis," said Scott Marcouiller of Wells Fargo Advisors.

"Adding to the uncertainty were comments from German Chancellor Angela Merkel highlighting the need for time in resolving the region's troubles."

Copyright AFP (Agence France-Presse), 2011