Inflation, rate worries drag US mkts; ADRs tumble

The US indices dropped for the second consecutive day amid fears of inflaton and interest rates as data showed higher-than-expected labour costs.

The Dow Jones industrial average shed 130 points to end at 13,466. The Nasdaq dropped 24 points to 2587.

Indian ADRs ended in a sea of red. HDFC Bank and Tata Motors tumbled 4.7% each to $83.47 and $16.83, respectively. Satyam, Patni Computers, ICICI Bank, MTNL, VSNL and Dr.Reddy's slipped 1-4% each to $24.53, $26.07, $46.78, $7.75, $22.90 and $15.83, respectively.