News Summary: Calm returns to market after plunge

AP News
Posted: Jun 04, 2012 4:35 PM
News Summary: Calm returns to market after plunge

STOP, THINK: Calm returned to the stock market Monday after a spasm of fearful selling last week. Major indexes closed mixed after trading modestly lower for most of the day.

EUROPE BRIGHTER: In Europe, bond investors appeared less concerned about the finances of some financially troubled countries. Bond yields fell for Italy and Spain, meaning that they appear less likely to default. Lower bond yields translate into decreased borrowing costs for those debt-strapped nations.

HOMBUILDERS COLLAPSE: Homebuilders had some of the biggest declines in the S&P 500, adding to steep losses from Friday. Major homebuilders have lost about one-third of the huge gains that they posted in the first three months of the year.