U.S. technology stocks, the second- best industry of the past decade, have fallen to the cheapest levels in at least seven years and are vulnerable to more losses as analysts reduce second-quarter profit estimates.
A false report of explosions at the White House that wiped out $136 billion from the Standard & Poor’s 500 Index in about two minutes highlighted the risks of the computerized trading that dominates the $18 trillion market.
Emerging stocks fell a seventh day, capping the longest slump since November, as Cyprus lawmakers rejected a tax on bank deposits needed to win a financial bailout. Mexican stocks sank to a three-month low.
Stocks rallied, sending the Dow Jones Industrial Average to the highest since October 2007, as Italy sold debt amid political turmoil and U.S. data bolstered confidence in the world’s largest economy. The euro rebounded from a seven-week low and Italian 10-year bonds gained.
U.S. stocks declined as an index of consumer sentiment unexpectedly fell, while the pound strengthened after Bank of England Governor <a href="blpnews:linkid=X3RV3DQJ4GTV&peplid=1495538&pepllastname=King&peplfirstname=Mervyn_Allister&peplcompanyname=Bank_Of_England/London&peplcompanynumber=49321&peplwhohits=764&pepltitle=Governoremail@example.com&interviewsource=News_Reporter_Software&srange=184&erange=195">Mervyn King</a> said policy makers aren’t trying to weaken the currency.