US stocks open sharply lower after weak earnings, outlooks

IndustrialsAssociated Press

The U.S. stock market is opening sharply lower following disappointing corporate earnings and weak economic news.

The Dow Jones industrial average fell 297 points, or 1.7 percent, to 17,381 early Tuesday. The Standard & Poor's index fell 27 points, or 1.3 percent, to 2,029.

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Caterpillar's stock fell 7 percent after the heavy equipment maker was hurt in the fourth quarter by restructuring costs and issued a weak outlook. Technology giants Apple and Yahoo will disclose their results after the close.

Orders for long-lasting manufactured goods dropped sharply in December, the government reported early Tuesday.

In government bond trading, prices rose and the yield on the 10-year Treasury note fell to 1.76 percent from 1.83 percent late Monday.

Stocks also fell in Europe.