US dollar hits three-year low as stocks sink

The Dow Jones Industrial Average dropped more than 80 points after edging into positive territory at the end of a choppy session on Tuesday.

Among Dow components, Chevron [CVX 104.05 -2.12 (-2%) ], GE [GE 20.31 -0.33 (-1.6%) ] and Exxon Mobil [XOM 84.15 -1.47 (-1.72%) ] fell, while Intel [INTC 23.205 0.165 (+0.72%) ] and Cisco [CSCO 17.35 -0.06 (-0.34%) ] gained.

The S&P 500 and the Nasdaq both declined. The CBOE Volatility Index, widely considered the best gauge of fear in the market, rose to nearly 17.

Most key S&P sectors sank, led by energy and materials.

The dollar [.DXY 73.00 -0.14 (-0.2%) ] hit a three-year low against a basket of currencies, as the euro gained to nearly $1.50.

Silver continued to decline to nearly $41 an ounce after falling nearly 8 percent on Tuesday, as increased costs for trading futures pushed investors from the market. Gold futures also fell, dropping to nearly $1,536 an ounce.

Oil continued to trade lower after news oil inventories rose by 3.4 million barrels, according to the U.S. Energy Information Administration. Gasoline inventories dropped by 1 million barrels. (read more)