Continued from page 1

Apple, the largest public company in the world, lost $17.25, or 2.5 percent, to close at $673.54. It has lost more than $26 in two days. Apple is the biggest component in the S&P but is not included in the Dow, helping explain why the S&P suffered a greater percentage decline than the Dow’s 0.8 percent.

The closely watched Standard & Poor’s/Case Shiller index of national house prices increased 1.2 percent in July compared with the same month in 2011. Prices rose from the previous month in all 20 major cities tracked by the report for the third month in a row.

The Conference Board said its gauge of consumer confidence shot to a seven-month high of 70.3 in September, up from 61.3 in August and far higher than the 63 analysts were expecting. People surveyed said they were more optimistic about the job market.

The Federal Reserve’s manufacturing index, which surveys companies in the central Atlantic region, increased after shrinking for three months as businesses turned more optimistic. Companies said they anticipate more orders and shipments even as employment dips. The index turned positive in September after a negative reading in August.

Treasury prices rose as traders shifted money into safe assets. The 10-year Treasury yield, the benchmark for mortgages and other loans, dipped to 1.67 percent from 1.71 percent late Monday.