FXstreet.com (Córdoba) - US stocks fell more than 2% in early trade Monday amid ongoing euro zone debt woes and ahead of an expected announcement from the US congressional "super committee" that it had failed to reach a deficit reduction agreement.
The Dow Jones industrial average fell 245 points or 2.08% to 11,550. The Standard & Poor's 500 Index lost 24 points or 2.02% to 1,191. The Nasdaq Composite Index shed 55 points or 2.16% to 2,517.
The US congressional committee appointed by President Barack Obama three months ago is expected to announce its failure to prepare a bipartisan draft plan of tax increases and spending cuts necessary to reduce national deficit by $1.2 trillion over 10 years, 2 days before the deadline.
In the macroeconomic domain, US existing home sales rose by 1.4% in October to 4.97 million, surpassing market expectations.
In Europe, stocks fell sharply after Moody's warned about France's rating outlook, while Spanish bond yields rose amid elections of a new government. The Stoxx Europe 600 dropped 2.5%.
Gold fell to near $1,700 an ounce while crude oil futures dropped 2.0% to $95.60 a barrel.
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