NEW YORK – Three days of gains in the stock market came to an end Wednesday as investors worried about Europe’s ability to contain its debt crisis.

The Dow Jones industrial average fell 180 points. Raw materials companies had the biggest declines after prices for commodities like copper and oil fell sharply.

Traders focused on remarks from German Chancellor Angela Merkel suggesting that the second bailout package for Greece might have to be renegotiated. Several European leaders want banks to take bigger losses on Greek bonds. France and the European Central Bank oppose the idea.

Germany’s parliament is set to vote today on a measure that would give a European rescue fund more powers to fight the region’s debt crisis. Finland’s parliament approved the proposal Wednesday, lifting some uncertainty over the debt crisis issue, which has been dogging financial markets since late July.

“This is a market that has been fluctuating and is thoroughly susceptible to any news, any rumors, any innuendos,” about Europe, said Quincy Krosby, market strategist at Prudential Financial.

The Dow Jones industrial average fell 179.79 points, or 1.6 percent, to close at 11,010.90. It had gained 413 points over the past two days. The Standard & Poor’s 500 index fell 24.32, or 2.1 percent, to 1,151.06. The Nasdaq composite index fell 55.25, or 2.2 percent, to 2,491.58

The declines were broad. Five stocks fell for each one that rose on the New York Stock Exchange. Only 13 stocks in the S&P 500 rose. Four were flat.

Raw materials stocks fell the most of any industry group in the S&P 500, 4.5 percent. Investors fear that Europe’s problems could cause the global economy to slip into another recession, weakening demand for basic materials such as copper.

The price of copper plunged 5.6 percent; crude oil fell 3.8 percent to $81.21 barrel.

Technology companies fared better than the overall market. Jabil Circuit Inc. rose 8.4 percent, the most of any company in the S&P 500. The electronic parts maker reported strong earnings and a fourth-quarter earnings forecast that was better than analysts had anticipated.

 

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