US stocks dropped for the second straight session on Wednesday, a day after minutes from the latest Federal Reserve meeting suggested further monetary stimulus was unlikely and a disappointing Spanish debt auction rekindled euro-zone concerns. Spanish borrowing costs jumped at bond auctions, sparking worry about a recurrence of a euro-zone debt crisis and highlighting recession worries in the region.
The PHLX Europe sector index lost 3 percent. The Dow Jones industrial average dropped 163.51 points, or 1.24 percent, to 13,036.04. The Standard & Poor's 500 Index fell 18.39 points, or 1.30 percent, to 1,394.99. The Nasdaq Composite Index declined 58.92 points, or 1.89 percent, to 3,054.65.