Stock market slides as budget stalemate drags on in Washington; Investors fear a U.S. default

10/7/2013

NEW YORK — The stock market is closing at its lowest level in a month as the U.S. government enters a second week of being partially shut down.

Investors fear the budget stalemate could prevent Congress from raising the government’s borrowing limit by next week’s deadline, bringing a threat of a debt default by the U.S.

The Dow Jones industrial average fell 136 points, or 0.9 percent, to close at 14,936 today.

The Standard & Poor’s 500 index fell 14 points, or 0.9 percent, to 1,676, the lowest in a month.

The Nasdaq composite fell 37 points, or 1 percent, to 3,770.

Two stocks fell for every one that rose on the New York Stock Exchange. Volume was much lighter than usual at 2.6 billion shares.