New York - Xinhua
U.S. stocks dropped on midday Monday with three major indexes sliding over 1 percent as Japan weakens its currency. The Dow Jones industrial average lost 160.72 points, or 1.31 percent, to 12,070.39. The Standard & Poor\'s 500 was down 18.93 points, or 1.47 percent, to 1,266.13. The Nasdaq Composite Index dropped 34.38 points, or 1.26 percent, to 2,702.53. Japanese monetary authorities announced earlier Monday a massive currency intervention to safeguard the country\'s exporters. The greenback surged significantly after the intervention. Investors worried that the U.S. economy, especially the exporting sector will be hurt by strong dollar. Investors were also concerned about Italy, the eurozone\'s third largest economy, which is also facing a debt problem. U.S. stocks ended last week with gains of over 3 percent amid optimism in eurozone and strong earnings. Investors\' confidence, however, remained fragile.