Selling Accelerates Into the Close, Dow Dips 127

Stocks traded in the red most of the session on lingering European concerns, but selling accelerated into the close leaving the down down 127 points to 10,067, its lowest close since February.

Bank stocks were among the weakest, with Bank of America (NYSE: BAC), JPMorgan Chase (NYSE: JPM), Wells Fargo (NYSE: WFC) and Goldman Sachs (NYSE: GS), falling between 3-5%. Citigroup (NYSE: C) bucked the trend, ending up 0.8% after being upgraded early in the session.

With strong performance from Apple (Nasdaq: AAPL), the Nasdaq was in positive territory most of the session, but the selling into the close couldn't keep the index in the green. The Nasdaq ended the day down 15.5 points ot 2,214. Apple, which was added to Morgan Stanley's Best Ideas List, finished the day 2% higher.

The S&P 500 closed down 14 points to 1,074 even as strategists at Goldman Sachs said the current sell-off is consistent with past corrections and they still see the S&P 500 hitting 1,300 this year.

Data on the economic front was better-than-expected, with April existing home sales climbing 7.6 percent last month to a seasonally adjusted rate of 5.77 million. Economists had been looking for 5.63 million for existing home sales. Much of the increase though was attributed to the expiring home tax credit.

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