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Why the Dow's Biggest Losers Came From 1 Sector Today

Dan Caplinger
August 27, 2013

Although we don't believe in timing the market or panicking over daily movements, we do like to keep an eye on market changes -- just in case they're material to our investing thesis.

In recent months, the stock market has done a good job of maintaining its gains even in the face of bad news. But today, most market commentators blamed the rising tensions in Syria as contributing to greater investor recognition of the ever-present geopolitical risk in the markets, and the Dow Jones Industrials (INDEX: ^DJI) responded by closing near its worst levels of the day, down 170 points. Broader market measures fell even more sharply, with the S&P 500 falling 1.6% and the Nasdaq down more than 2% on the day.

Among the worst-performing Dow components, financial stocks made up three of the four biggest losers. Bank of America (NYSE: BAC), JPMorgan Chase (NYSE: JPM), and American Express (NYSE: AXP) all fell between 2% and 3%, with general concerns about the future