U.S. stocks fell for a fourth day as financial shares tumbled in response to Citigroup's drop in fourth-quarter profit and Charles Schwab's quarterly loss. The Standard & Poor's 500-stock index had its biggest decline this year.
The Dow Jones industrial average fell 143.84, or 1.7 percent, to 8442.90, and the Nasdaq composite index fell 11.94, or 0.9 percent, to 1364.25. The S&P 500 dropped 14.16, or 1.6 percent, to 887.62. The 1.6 percent loss was the index's biggest of the year.
Stocks were also hurt after President Bush indicated that the United States opposes calls from France, China and Russia to avoid war with Iraq and allow more time for weapons inspections.
Citigroup fell 66 cents, to $36.14. Earnings at the world's biggest financial services company fell 37 percent in the fourth quarter.
Charles Schwab, the biggest discount broker by client assets, sank $1.26, to $10.48. The company lost $79 million in the fourth quarter as it spent $165 million to lay off employees and close offices.
J.P. Morgan Chase, the second-largest U.S. bank, fell 77 cents, to $25.42; credit card issuer American Express fell 98 cents, to $35.95; and Bank One fell 88 cents, to $37.82.
First Virginia Banks surged $4.59, or 12 percent, to $42.34 after agreeing to sell itself to BB&T for $3.38 billion in stock. The sale values First Virginia at $47.09 share, 25 percent more than Friday's closing price of $37.75.
Retail and entertainment stocks fell for a second day after the University of Michigan's January consumer confidence index, released Friday, unexpectedly dropped.
Wal-Mart Stories fell 96 cents, to $49.01, and AOL Time Warner fell 46 cents, to $14.35.
Viacom's Class B shares slipped $2.13, to $39.13. The owner of the CBS, MTV and Nickelodeon television networks dropped after the Wall Street Journal reported that Mel Karmazin may quit as the company's president.
Merck fell $1.62, to $56.72. Teva Pharmaceutical Industries, the world's biggest generic-drug maker, said a British court invalidated two Merck patents for the osteoporosis drug Fosamax. Merck said it will appeal.
Oil shares declined after tanker pilots from Venezuela's state oil company scheduled a vote today on a government proposal to end a 51-day strike. Crude prices have risen 29 percent during that time.
Exxon Mobil, the largest publicly traded energy company, fell 80 cents, to $33.92; ChevronTexaco dropped $1.26, to $66.85.
* The New York Stock Exchange composite index fell 92.23, to 5016.28; the American Stock Exchange index fell 8.89, to 823.37; and the Russell 2000 index of smaller-company stocks fell 4.93, to 383.17.
* Declining issues outnumbered advancing ones by 9 to 4 on the NYSE, where trading volume fell to 1.3 billion shares, from 1.35 billion on Friday. On the Nasdaq, decliners outnumbered advancers by 5 to 3 and volume totaled 1.34 billion, down from 1.66 billion.
* The price of the Treasury's 10-year note rose $3.75 per $1,000 invested, and its yield fell to 3.97 percent, from 4.02 percent on Friday.
* The dollar rose against the Japanese yen and fell against the euro. In late New York trading, a dollar bought 118.13 yen, up from 117.82 late Friday, and a euro bought $1.0724, up from $1.0666.
* Light, sweet crude oil for February delivery settled at $34.61 a barrel, up 70 cents, on the New York Mercantile Exchange.
* Gold for current delivery rose to $357.30 a troy ounce, from $356.60 on Friday, on the New York Mercantile Exchange's Commodity Exchange.