New Yark: US stocks tumbled in heavy volume on Monday, with more than 1,000 stocks traded on the New York Stock Exchange hitting 52-week lows, after rating agency Standard and Poor’s cut the US’ perfect AAA credit rating, rattling already jittery investors.
The Dow Jones Industrial Average dropped 357.27 points, or 3.12%, to 11,087.34. The S&P 500 Index fell 45.23 points, or 3.77%, to 1,154.15. The Nasdaq Composite Index lost 98.24 points, or 3.88%, to 2,434.17.
Bank of America Corp. shares fell as much as 16.4% after American International Group Inc. said it is suing the bank to recover more than $10 billion over a “massive fraud” on mortgage debt.