US stocks fall on war fears

The Dow Jones industrials have fallen to their lowest level in nearly six weeks.

War fears have overshadowed encouraging economic reports on Wall Street, sending stock prices lower for the third consecutive day.

The Dow Jones industrial average fell 82.55 yesterday, or 1%, to close at 8,364.80, for a three-day loss of 262 points.

It was the lowest finish since November 11, when blue-chip stocks closed at 8,358.95.

The Nasdaq composite index lost 7.30, or 0.5%, to close at 1,354.21. The Standard & Poor's 500 index dropped 6.85, or 0.8%, to 884.27.

Investors, meanwhile, largely shrugged off reports showing modest improvements in the economy.

Declining shares included AT&T, which fell 1.20 to 25.11, and Eastman Kodak, which dropped 1.22 to 35.95. But Oracle rose 37 cents to 11 after the business software maker reported earnings that beat analysts' expectations.

Dole Foods jumped 4.13, or 14.5%, to 32.58, after its chairman, David Murdock, agreed to buy all the giant food company's outstanding shares he does not own and take it private in a $2.5bn deal.

Declining issues outnumbered advancers 17 to 11 on the New York Stock Exchange. Volume was moderate.