New York – U.S. Stocks Keeps on Sliding: Dow Down 100 Points

New York – The Dow slipped Monday, with financials leading the retreat, as concerns about the economic recovery and Europe’s debt problems kept investors on edge.

The Dow Jones industrial average (INDU) lost more than 100 points, The S&P 500 index lost 15 points or 0.7%. The Nasdaq composite (COMP) lost 9 points or 0.89%.

The major indexes have slipped for four weeks in a row as the optimism that fueled a 10-month rally off of 12-year lows hit last March has been replaced by cautiousness. Bets that an economic recovery was brewing — combined with trillions in fiscal and monetary stimulus — fed the 2009 rally.

But so far in 2010, markets have been choppy and weak as investors wait for evidence that the still-germinating recovery is really taking hold, particularly amid hard-hit labor market and housing industry. Last Thursday, the Dow fell below the 10,000 level — a key psychological barrier — for the first time in three months.

“Investors may have priced in a tepid recovery in terms of their strategies, but they haven’t priced in sovereign debt issues,” said Larry Glazer, managing director at Mayflower Advisors. “That factor, plus companies reporting decent earnings but seeing no response, is having an impact right now.”