Stocks slip again as investors focus on Fed, D.C. wrangling

|By:, SA News Editor

Stocks extended losses from late last week as investors were unsettled by Fed policy intentions and wrangling in Washington over the budget and the debt ceiling.

The Fed's Dudley said the pace of economic improvement is insufficient and too uncertain for the Fed to pull back now, but traders see a cut to bond purchases coming sooner or later.

Apple gained 5% after weekend iPhone sales eclipsed analyst estimates (I, II), which also helped shares of Apple suppliers, and BlackBerry added 1% after getting a $9/share offer, but techs overall fared little better than other sectors.

Treasurys continued to gain after last week's Fed decision, as the yield on the 10-year note fell to 2.707%.