By Kate Gibson, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks declined Monday, erasing
gains that briefly put the S&P 500 Index less than 1 point from
its record high, as investors considered the deal to keep Cyprus in
the euro.
"We were having too much of a celebration over the near-term
success of fixing the Cyprus problem, but the devil is in the
details, and the details are still coming out," said Art Hogan,
market strategist at Lazard Capital Markets.
"The good news is disaster has been avoided; the bad news is the
knock-on effect," Hogan added.
After coming within a fraction of its all-time closing high of
1,565.15, hit in October 2007, the S&P 500 (SPX) was lately off
2.15 points at 1,554.74.
Industrials fell the hardest and telecommunications fared best
among its 10 major sectors.
The Dow Jones Industrial Average (DJI) shed 53.54 points, or
0.4%, to 14,458.39.
The Nasdaq Composite (RIXF) dropped 8.59 points, or 0.3%, to
3,236.51.
For every three stocks rising four fell on the New York Stock
Exchange, where 175 million shares traded by 11:20 a.m.
Eastern.
Composite volume topped 960 million.
Cyprus and international lenders struck a last-minute bailout
deal early Monday, clearing the way for the nation to receive 10
billion euros ($13 billion) in financing.
The agreement calls for a restructuring of two of the country's
largest banks -- Popular Bank of Cyprus (also known as "Laiki
Bank") and Bank of Cyprus -- as well as a downsizing of the
nation's overall banking sector.
Deposits at both banks larger than EUR100,000 will be subject to
a levy.
In the technology sector, Dell Inc. (DELL) shares gained 2.7%
after the computer maker confirmed it had received competing bids
from private-equity firm Blackstone Group LP and billionaire
investor Carl Icahn that could top one offered by founder Michael
Dell.
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