US stocks drop on German short restrictions, foreclosures
US stocks fell for a second day as Germany's ban on certain bearish investments and a jump in mortgage foreclosures to a record triggered a flight from equities. Boeing Co., United Technologies Corp. and 3M Co. slid more than 1.6% to help lead declines in the Dow Jones Industrial Average. American Apparel Inc. slumped 24% after saying it anticipates it won't be in compliance with debt covenants. Equities pared losses as the euro extended its rebound from a four-year low against the dollar and the Federal Reserve said it was in no hurry to sell mortgage assets.