U.S. stocks fall on bond downgrades

New York -- U.S. stock indexes fell after a momentary rise Wednesday morning after credit-rating firms said they would downgrade bonds backed by risky U.S. home loans.

The Dow Jones industrial average fell 14.31 points, or 0.11 percent, to 13,487.39 in mid-morning trading. The broader Standard & Poor's 500 Index shed 3.31 points, or 0.22 percent, at 1,506.81.

The technology-heavy Nasdaq Composite Index lost 6.55 points, or 0.25 percent, at 2,632.61.

Japan's Nikkei 225 index fell 203.16 points, or 1.11 percent, to close at 18,049.51.

The 10-year U.S. Treasury note rose 1/32, yielding 5.026 percent, while the 30-year bond was down 1/32, yielding 5.127 percent.

The U.S. dollar fell to 121.81 yen from 121.97 yen in New York late Tuesday. The euro, in U.S. dollars, moved to $1.3766 from $1.373.

Copyright 2007 by United Press International.