Quake disaster pushes stocks lower

NEW YORK – Concerns over the economic impact of the Asian earthquake disasters pushed stocks lower Monday, putting Wall Street’s recent rally on hold despite decent holiday sales figures and falling oil prices.

Analysts were generally pleased with the uptick in sales most retailers reported late last week and in post-holiday shopping. Wal-Mart Stores Inc. saw sales rise modestly, while Amazon.com Inc. reported record sales during the holiday season.

Insurers, hotels and travel-related stocks fell as investors reacted to the devastation in Asia, which could be one of the costliest disasters in history, though the economic impact for the United States appeared to be minimal. And with trading volume very light during the holiday week, analysts said there was little to be divined from Wall Street’s initial reaction.

“Honestly, you’ve got this news out there, but trading volumes are so light, what with the holidays, you can’t really put any meaning behind what’s going on today,” said Bill Groenveld, head trader for vFinance Investments. “Low volume means everything’s magnified. Next week, we’ll get a much better idea of where things are going.”

The Dow Jones industrial average fell 50.99, or 0.47 percent, to 10,776.13.

Broader stock indicators saw modest losses. The Standard & Poor’s 500 index was down 5.21, or 0.43 percent, at 1,204.92, and the Nasdaq composite index lost 6.40, or 0.3 percent, to 2,154.22.

Oil prices continued to drop sharply despite wintry weather in the Northeast. A barrel of light crude was quoted at $41.32, down $2.86, on the New York Mercantile Exchange. That took the edge off of troublesome currency news, as the dollar fell to another new low against the euro Monday.