Richard Drew / AP
Traders work on the floor of the New York Stock Exchange.
By msnbc.com news services
Stocks staged a big rebound Wednesday, recovering from a drop of nearly 200 points on the Dow Jones industrial average earlier in the day as concerns mounted over Greece's future in the euro zone.
At the close, the Dow was off just 7 points.
Tech shares were among the day's biggest decliners as a weaker-than-expected revenue forecast from Dell Inc, the third-largest computer maker, spurred fears that global tech spending was declining faster than had been previously anticipated.
Euro-zone officials have agreed that each euro-zone country must prepare an individual contingency plan in the event that Greece decides to leave the single currency bloc. The agreement was reached during a teleconference of the Eurogroup Working Group, which lasted for about an hour on Monday.
"It's very frightening to hear about this kind of talk, even if it makes sense as a contingency, because the lack of a clear path there continues to be very problematic for banks," said James Dunigan, chief investment officer of PNC Wealth Management in Philadelphia.
Falling oil prices also depressed the energy sector.
Earlier in the session, stocks had briefly trimmed their losses after data showed new U.S. single-family home sales rose more than expected in April and prices pushed higher. The latest reading on sales of new homes offered further evidence that the housing market was turning the corner.
The data "adds to the growing sense that housing is stabilizing, but it isn't enough to overcome the global issues driving the day," said Dunigan, who helps oversee $112 billion in assets.
Facebook Inc and banks, including Morgan Stanley, were sued by the social networking leader's shareholders, who claimed the defendants hid Facebook's weakened growth forecasts ahead of its $16 billion initial public offering.
Even so, Facebook's stock closed up 3 percent.
Related: Facebook's dream IPO is starting to look like a nightmare
Reuters contributed to this report.
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