Economics
U.S. Stocks Fall as Germany, France Propose Transaction Tax
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U.S. stocks fell, following the biggest three-day rally since 2009, as German and French leaders proposed a financial-transaction tax and rejected selling euro bonds to halt a debt crisis threatening economic growth.
NYSE Euronext and Nasdaq OMX Group Inc., two of the biggest exchange operators in Europe, dropped more than 2.7 percent. Caterpillar Inc., Deere & Co. and 3M Co. declined at least 1.4 percent, pacing losses in companies most-tied to the economy, as Europe’s economic growth trailed estimates and U.S. housing starts slumped. Citigroup Inc. and Bank of America Corp. slipped more than 4.2 percent after billionaire John Paulson’s hedge fund said it reduced positions in both lenders.