The small European country of Cyprus was the focus of attention Monday after the European Union announced a 10 billion euro bailout of the country’s banking system — which necessitates a tax on current deposits in the country — during the weekend. All three major U.S. indices fell on concerns of a European economic contagion … and perhaps some lingering profit-taking from Friday’s losing session.
The Dow Jones Industrial Average recovered some of its early losses but still finished down 0.42% to 14452.82, while the S&P 500 took the brunt of the day’s losses, off 0.55% to 1552.40. The Nasdaq slid 0.35% to end at 3237.59.
The banking sector was unsurprisingly rattled, with Citigroup (NYSE:C, -2.2%), Wells Fargo (NYSE:WFC, -1.2%) and JPMorgan Chase (NYSE:JPM, -1%) all down on the day.
On the opposite side of the street, Big Tech did nicely. Hewlett-Packard (NYSE:HPQ) continued its recent march upward, rising close to 3% on an upgrade to “overweight” from Morgan Stanley (NYSE:MS), while shares of Apple (NASDAQ:AAPL) rose more than 2% after Bloomberg reported that analysts believe the company will announce a 56% increase in its dividend.
Verizon (NYSE:VZ) also got an analyst bump, improving more than 2% after Citigroup upgraded the communications and cable provider to a “buy” from “neutral.”
JCPenney (NYSE:JCP) rose more than 6% on news from ISI Group that suggested the retailer could raise $10.8 billion in cash if it becomes a real estate investment trust and leases space in 300 of its stores.
Finally, both Constellation Brands (NYSE:STZ) and Anheuser-Busch InBev (NYSE:BUD) headed higher — STZ by 2%, while BUD was up fractionally — after the Justice Department gave the companies additional time to work out their merger plans.
- Nii Holdings (NASDAQ:NIHD): Up 6.5% (30 cents) to $4.92.
- RadioShack (NYSE:RSH): Up 4.2% (15 cents) to $3.69.
- Aeropostale (NYSE:ARO): Up 3.2% (44 cents) to $14.19.
- Incyte (NASDAQ:INCY): Down 4.2% ($1.05) to $23.79.
- Helmerich & Payne (NYSE:HP): Down 5.5% ($3.36) to $62.60.
- ING Groep (NYSE:ING): Down 4.7% (39 cents) to $7.97.
Marc Bastow is an Assistant Editor at InvestorPlace.com. As of this writing he is long AAPL and VZ.