The markets opened lower as investors remained concerned about the financial services sector with the Dow falling 70 points to 11,711. Nasdaq dropped 10 points to 2429.

On the upside

LDK Solar (NYSE: LDK) posted 2nd quarter earnings that tripled and raised its outlook for the current quarter. The China-based maker of solar wafers was promptly upgraded by analysts.

Mitsubishi UFJ Financial Group offered $3 billion to buy the remaining 35% stake in California's UnionBanCal Corp. (NYSE: UB).

Shares of Gap (NYSE: GAP) rose as the clothing retailer revealed its fall collection.

On the downside

Investment bank JPMorgan Chase (NYSE: JPM) lost $1.5 billion so far in the 3rd quarter due to mortgage-related writedowns.

Shares of Goldman Sachs (NYSE: GS) fell after several analysts downgraded the investment bank.

Thomson Reuters (Nasdaq: TRIN) reported slowing growth as investment banks curtail information purchases.

Shares of Zoltek (Nasdaq: ZOLT) tumbled after analysts downgraded the carbon fiber maker due in part from the delay in wind-related contracts.

In the broad market, declining issues outpaced advancers by a margin of nearly 2 to 1 on the NYSE and by 5 to 3 on Nasdaq. The Russell 2000 which tracks small cap stocks lost 3 points to 748.