New York, NY (AP) - Stocks are closing modestly higher after a reported threat to Germany's credit rating deflated a morning market rally.
News reports Monday afternoon said that Standard & Poor's will
put all 17 nations that use the euro on "creditwatch negative,"
meaning there is a 50-50 chance of a downgrade in the coming
Stocks had risen strongly in the morning after the leaders of France and Germany called for a new treaty to impose greater fiscal discipline on European countries.
The Dow Jones industrial average rose 78 points, or 0.7 percent,
to 12,098. The S&P 500 rose 13, or 1 percent, to 1,257. The Nasdaq
rose 29, or 1.1 percent, to 2,656.
About three stocks rose for every one that fell on the NYSE.Volume was below average at 4.1 billion.
(Copyright 2011 by The Associated Press. All Rights Reserved.)