Stock market dips as Europe troubles resurface

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NEW YORK (AP) ? Stocks edged lower on Wall Street Monday as retailers reported lower results and as Europe’s debt troubles continued to hang over markets.

The euro fell against the dollar and European stock indexes were mostly lower as traders looked ahead to the challenges still facing the region as it tries to contain its debt crisis.

The Dow Jones industrial average was down 25 points to 12,129, as of 11:20 p.m. Eastern. Boeing Co. gained 2.5 percent, leading the Dow. The carrier Emirates placed an order for 50 777s, one of the aircraft maker’s largest orders ever. Boeing also picked up a new customer, Oman Air, which ordered six 787s.

Stock indexes closed higher last week as it appeared Greece and Italy were making steps toward getting their debt troubles under control. New governments are taking over in Greece and Italy, the two countries at the center of the crisis.

But worrying signs reemerged Monday. Italy’s largest bank, Unicredit, reported a $14.4 billion quarterly loss. Italy managed to raise $4.1 billion in a sale of five-year bonds Monday, but the 6.29 percent interest rate was the highest since 1997.

“The problems these countries are dealing with go well beyond their prime ministers,” said Dan Greenhaus, chief global strategist at the brokerage BTIG. “Italy didn’t get where it is in five minutes. And it’s not going to get out of where it is in five minutes. This is going to take months.”

The S&P 500 index fell 6 points, or 0.5 percent, to 1,257. The Nasdaq composite fell 8, or 0.3 percent, to 2,670.

J.C. Penney Co. fell 1 percent after reporting a quarterly loss. The department store operator said its results were weighed down by restructuring costs. It also lowered its earnings outlook for the rest of the year.

IBM Corp. rose 1 percent after the investor Warren Buffett said his firm has been buying the company’s stock this year. The purchases have given Berkshire Hathaway Inc. a 5 percent stake in IBM.

The Dow and the S&P 500 are now positive for the month. The Nasdaq is slightly lower. The Dow has made gains in six of the past 7 weeks.

No major economic reports are coming out Monday.