U.S. markets down early

In Japan, the Nikkei 225 index lost 0.8 percent, down 75.32 points to 9,226.00, as the yen appreciated despite the Bank of Japan's decision to maintain its bank-to-bank lending rate at 0.1 percent. In Europe, the financial sector dropped after The Wall Street Journal published a report on the recently done bank stress tests that pointed to banks with "potentially risky government debt" that the tests may have underestimated.

In midmorning trading on Wall Street, the Dow Jones industrial average lost 78.25 points, 0.75 percent, to 10,369.68. The Standard & Poor's 500 index lost 0.86 percent, 9.55, to 1,094.96. The Nasdaq composite index lost 13.84, 0.62 percent, to 2,219.91.

The benchmark 10-year Treasury note rose 19/32 to yield 2.645 percent.

The euro fell to $1.2754 from Friday's $1.2875. Against the yen, the dollar dropped to 83.62 yen from Friday's 84.22 yen.

Copyright 2010 United Press International, Inc. (UPI).