Thursday, April 23, 2009

An unexpectedly large drop in home sales is dashing hopes that the economy is healing some its biggest wounds.

A 3% drop in sales of existing homes in March is stirring worries Thursday that housing will remain a drag on the economy.

The grim report is overshadowing stronger-than-expected earnings reports from Apple Inc. and eBay Inc. as well as defense contractor Raytheon Co.

At midday, the Dow Jones industrial average is down 57 at 7,829. The Standard & Poor's 500 index is down 5 at 838. The Nasdaq composite index is down 15 at 1,631.