US stocks have closed mixed, with a late rally paring losses prompted by increased fears of a Greek euro exit and disappointing earnings from computer maker Dell.
The Dow Jones Industrial Average was down 6.66 points, or 0.05 per cent, at 12,496.15 at the end of trade.
The S&P 500-stock index rose 2.23 (0.17 per cent) to 1,318.86, while the tech-rich Nasdaq added 11.04 (0.39 per cent) to 2,805.12.
In early trade Wall Street had followed European markets lower “amid mounting concerns that Greece will leave the euro,” Wells Fargo Advisors said.
The renewed worries came ahead of a European Union summit meeting Wednesday focused on debt-riddled Greece’s crisis and a sharp slowdown in the eurozone economy.
The euro plunged below $1.26, its lowest level since 2010, and Germany’s 10-year bond yield hit a record low as investors sought safety.
The US bond market also rallied.
The yield on the 10-year Treasury dropped to 1.72 per cent from 1.79 per cent Tuesday, while the 30-year fell to 2.79 per cent from 2.89 per cent.
Facebook cast a cloud over sentiment after its initial public offering Friday spawned regulatory probes, legal action and questions about underwriters’ actions handling the IPO.
“The Facebook debacle is coming off as an insult to individual investors. It looks like the worst of Wall Street hype with a dose of chicanery to boot,” said Dick Green at Briefing.com.
Having lost 18 per cent since its Friday IPO, Facebook shares gained 3.2 per cent to $31.99.
Computer maker Dell, once the market leader, dived 17 per cent after posting a 33 per cent drop in profits and falling revenue for its fiscal first quarter.
Investors shrugged off a second day of encouraging April data on the depressed housing market.
In afterhours trade Dell rival Hewlett-Packard gained 5.4 per cent after announcing it would slash 27,000 jobs.
US new-home sales rebounded in April, by 3.3 per cent, after falling the prior month, and prices rose, the Commerce Department reported. The sales increase was in line with existing-home sales for the month reported by the National Association of Realtors.
On Tuesday, stocks finished mostly flat. But investors dumped Facebook shares amid new controversy about the company’s $16 billion IPO, pushing the Nasdaq down 0.29 per cent.
