Markets Close Lower Over Risky European Debt

The markets closed lower with the Dow plummeting 107 points to 10,340 after revelations that European banks may be holding more risky debt than originally disclosed. Nasdaq plunged 24 points to 2208.

On the upside

Enterprise Products Partners (NYSE: EPD) will pay approximately $8.03 billion to acquire Enterprise GP Holdings (NYSE: EPE).

Auriga USA downgraded JinkoSolar Holding (NYSE: JKS) but the stock price rose.

Seeking Alpha noted that Molycorp (NYSE: MCP) was third best performing stock that went public since July.

On the downside

The Rosen Law Firm initiated an investigation into China-Biotics (Nasdaq: CHBT) for possible federal securities law violations.

Barclays Capital downgraded LTX-Credence (Nasdaq: LTXC).

Stifel Nicolaus downgraded Live Nation Entertainment (NYSE: LYV).

In the broad market, declining issues outpaced advancers by a margin of nearly 3 to 1 on the NYSE and by nearly 7 to 2 on Nasdaq. The Russell 2000 which tracks small cap stocks plunged 14 points to 629.