1:26 p.m.
U.S. stocks fell sharply today as Wall Street weighed in for the first time on Libya's unrest, while the price of oil continued to surge.
After hitting multiyear highs Friday, major stock indexes today recorded their sharpest losses in months. The Dow Jones industrials fell 178.46 points, or 1.4%, to 12,212.79. The Standard & Poor's 500 index slid 2.1%, while the Nasdaq composite index lost 2.5% -- the biggest loss for each since August. Most U.S. markets were closed Monday for Presidents Day.
Oil futures, meanwhile, jumped to $93.57 a barrel in New York trading, up $2.15 from their level late Monday in electronic trading - and $7.37 higher than their closing price Friday.
Transportation stocks, including airlines, were hammered today on fear that their fuel costs will soar. The Dow transportation index tumbled 3.8%. But major oil stocks rallied.
