Summary Box: Stocks recover from early swoon

AP News
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Posted: May 07, 2012 4:50 PM
Summary Box: Stocks recover from early swoon

EARLY SWOON: World stock markets recovered following an early stumble caused by election results in France and Greece. France's main index closed up 1.7 percent. The Standard & Poor's 500 also started the day lower but ended up 0.48 points at 1,369.58.

REBUKE IN GREECE, FRANCE: Greek voters over the weekend punished mainstream politicians who had backed cost-cutting plans demanded by the country's international lenders, leaving the country without clear leadership. In France President Nicolas Sarkozy was thrown out in favor of Socialist Francois Hollande, who pledged "to finish with austerity."

WORRIES OVER E.U.: Investors initially worried that the shifting political landscape could jeopardize Europe's plans for fighting its debt crisis but later decided to focus on Hollande's pledges to encourage economic growth.