Financials and Technology Among Weakest Performers
04-Feb-13 14:30 ET
[BRIEFING.COM] Equities are holding their recent levels as afternoon trade continues. Today's session saw European worries resurface as Spanish and Italian stocks faced a broad sell-off due to ongoing controversy. In Italy, investigators are looking into derivative deals conducted by several banks. Meanwhile, markets in Spain were rattled by a deepening alleged kickback scheme involving Prime Minister Mariano Rajoy.
As the health of the European financial system returns into question, domestic banks are subject to cautious trade. Goldman Sachs (GS 146.77, -3.13) and Morgan Stanley (MS 22.88, -0.62) are among the weakest performers as the two see respective losses of 2.1% and 2.7%.
In addition to financials, the tech sector is exerting pressure on the broader market. Oracle (ORCL 35.15, -1.05) is lower by 2.9% after the company acquired Acme Packet (APKT 29.24, +5.31) for $29.25 per share. The transaction price represents a 22.2% premium to Acme's Friday closing price.