NEW YORK (Reuters) - Stocks fell in volatile trade on Tuesday as financial shares declined amid disappointment about a lack of coordinated interest rate cuts by global central banks.
The S&P financial index <.GSPF> was down nearly 4 percent as shares of Bank of America
The bank also slashed its dividend and posted a slide in quarterly profit in a surprise announcement.
Investors had bet that after Monday's global equity slide -- that took the Dow below 10,000 for the first time in four years -- central banks might mount a coordinated response to calm jittery investors.
Instead, the only news of rate cuts came out of Australia, which slashed rates by a full percentage point, and from India, which said it would cut the proportion of deposits that banks keep with the central bank.
The Dow Jones industrial average <.DJI> fell 68.10 points, or 0.68 percent, to 9,887.40. The Standard & Poor's 500 Index <.SPX> shed 7.74 points, or 0.73 percent, to 1,049.15. The Nasdaq Composite Index <.IXIC> declined 16.87 points, or 0.91 percent, to 1,846.09.
(Reporting by Ellis Mnyandu; Editing by Kenneth Barry)
