US stocks fell on Tuesday, halting a six-day streak of gains, after weaker-than-expected results from Alcoa Inc and on concerns banks could face fees from the government to recoup losses tied to bailouts. A senior US official confirmed Monday President Barack Obama is considering a levy on financial services firms as part of the fiscal 2011 budget he will unveil in February.
A Bloomberg report said the fee could raise as much as $120 billion. The Dow Jones industrial average fell 62.88 points, or 0.59 percent, to 10,601.11. The Standard & Poor's 500 Index lost 11.90 points, or 1.04 percent, to 1,135.08. The Nasdaq Composite Index shed 32.51 points, or 1.41 percent, to 2,279.90. The banking sector faced another potential hit after the Federal Deposit Insurance Corp on Tuesday floated a proposal that banks whose compensation plans encourage risk-taking would have to pay more for deposit insurance.
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