US STOCKS-Wall St tumbles on weak euro and tech

* EU leaders try to iron out rescue details, but euro down

* Wal-Mart results top estimates

* Dow off 0.3 pct, S&P 500 off 0.6 pct, Nasdaq off 1 pct
* For up-to-the-minute market news see [STXNEWS/US]
(Updates to early afternoon)

By Caroline Valetkevitch

NEW YORK, May 18 (BestGrowthStock) – U.S. stocks (Read more about the stock market today. ) slid on Tuesday,
pressured by euro weakness that raised concerns about the
impact on technology companies’ sales and by worries over
Europe’s debt problems.

Helping cushion the Dow’s decline, though, were shares of
Wal-Mart Stores Inc (WMT.N: ) — up 3 percent at $54.29 after
earnings topped Wall Street’s estimates. Wal-Mart’s
international growth offset a drop in U.S. same-store sales.
For details, see [ID:nN18270576]

Shares of technology companies, which tend to rely heavily
on overseas sales, led losses. Intel Corp (INTC.O: ) shares
dropped 2.2 percent to $21.53. Shares of Dow component
Hewlett-Packard (HPQ.N: ) tumbled 0.7 percent to $47.19,
reversing the morning’s gain before the computer and printer
maker’s earnings, set for release after the closing bell.

An index of semiconductor shares (.SOXX: ) lost 2.1
percent.

“It’s a one-two punch: First is continuing concern
over the euro and continuing concern over the viability of
the (European) Union, and then second, is rotation out of
large-cap tech,” said Peter Kenny, managing director at Knight
Equity Markets in Jersey City, New Jersey.

Adding to the downbeat trend were shares of Fidelity
National Information Services Inc (FIS.N: ). The stock slid 5.5
percent to $27.29 after it confirmed that talks regarding the
company’s sale have ended, and that the payment processor
plans to borrow heavily to buy back shares.

On Monday, Blackstone Group LP (BX.N: ), TPG Capital LP
[TPG.UL] and Thomas H. Lee Partners [THL.UL] dropped their
joint bid for Fidelity because of disagreement over price,
sources said. [ID:nN17108594] Blackstone was down 1.9 percent
at $11.85.

The Dow Jones industrial average (.DJI: ) was down 33.11
points, or 0.31 percent, at 10,592.72. The Standard & Poor’s
500 Index (.SPX: ) was down 6.86 points, or 0.60 percent, at
1,130.08. The Nasdaq Composite Index (.IXIC: ) was down 23.43
points, or 1.00 percent, at 2,330.80.

Stocks had opened higher as a meeting of euro-zone finance
ministers in Brussels to iron out wrinkles in a
750-billion-euro rescue plan helped to curb fears that the
region’s debt crisis could spread. [ID:nLDE64G290] But the
euro quickly resumed its downward move.

Chris Burba, a short-term market technician at Standard &
Poor’s in New York, said stocks are in a correction within a
cyclical bull market, and said they could stay there until the
end of August or later.

He puts resistance on the S&P 500 at 1,217-1,183 and
support at 1,045-1,036, and said trading will likely be
volatile over the coming weeks.

Another factor helping to support stocks came from
economic data this morning with a report that U.S. housing
starts rose more than expected to touch their highest level
since October 2008. But permits hit a six-month low.

The Dow Jones U.S. home construction index (.DJUSHB: ) rose
0.3 percent.

In another look at the economy, the Labor Department said
the overall U.S. Producer Price Index dipped in April,
confirming that inflation remained contained. [ID:nN18135902]

Growth Stocks

(Reporting by Caroline Valetkevitch; Editing by Jan Paschal)

US STOCKS-Wall St tumbles on weak euro and tech