* DuPont drops sharply on results, UTX modestly lower
* Apple pares losses after new iPad launch
* About 63 percent of S&P companies miss revenue
* Dow off 1.63 pct, S&P off 1.27 pct, Nasdaq off 0.46 pct
By Atossa Araxia Abrahamian
NEW YORK, Oct 23 U.S. stocks fell on Tuesday,
putting the Dow industrials on track for the biggest drop since
June 21, after a series of weak quarterly results from
Multinationals including DuPont and United
Technologies fell short of Wall Street's revenue
expectations, amplifying worries about the health of the global
DuPont's stock lost 8.8 percent to $45.39 after the chemical
company reported lower-than-expected quarterly profit and
announced 1,500 job cuts. The stock was responsible for a
33-point drag on the Dow, which was down more than 220 points.
The S&P materials sector index was down 2.8 percent,
largely on account of DuPont's performance.
"The market has gone from taking a macro view focused on
E.U. and China to focusing on earnings, and the earnings are
disappointing," said Timothy Hoyle, director of research for
Haverford Investments in Randor, Pennsylvania.
"We expected earnings to be flat to down a few percent, but
we did not anticipate the fact that the third quarter got
progressively weaker for many companies."
A total of 145 of the S&P 500 companies have reported
results so far. Sixty-three percent have missed analysts'
expectations for revenue. By contrast, since 1994 an average of
62 percent of companies have exceeded estimates. Over the past
four quarters 55 percent of companies have beaten.
The Nasdaq pared losses as Apple cut some of its
losses after Chief Executive Tim Cook announced the computer and
cellphone company was launching a smaller, cheaper tablet.
Apple Inc unveiled an 8-inch tablet, competing in a market
staked out by Amazon.com Inc and Google Inc.
Apple slipped 0.9 percent to $629.76.
Elevator and air conditioner manufacturer United
Technologies Corp slipped 0.4 percent to $77.55 after its
third-quarter earnings fell 3.3 percent.
Overall earnings for S&P 500 companies are expected to fall
2.5 percent in the third quarter from a year ago, Thomson
Reuters data showed.
The Dow Jones industrial average was down 216.88
points, or 1.63 percent, at 13,129.01. The Standard & Poor's 500
Index was down 18.17 points, or 1.27 percent, at
1,415.65. The Nasdaq Composite Index was down 13.86
points, or 0.46 percent, at 3,003.10.
In a development reviving investors' worry about Europe,
Moody's downgraded five key Spanish regions by one or two
notches late on Monday, citing their limited cash reserves and
forthcoming bond repayments.
The S&P 500 was below its 50-day moving average of about
1,434, which had been a level of support and may now act as
resistance if the market is able to rebound.
A total of 33 S&P 500 companies were scheduled to report
earnings on Tuesday, including Netflix and Facebook
after the close.