New York - US markets fell Tuesday pushed down by financial and energy stocks on concerns about capital at investment bank Lehman Brothers Holding Inc and falling oil prices.

Lehman reached a near 10-year low after talks to sell a stake to Korea Development Bank collapsed.

An index of energy shares fell 6.4 per cent as oil shares fell to 103.26 dollars a barrel as Saudi Arabia said supplies would meet demand, Bloomberg financial news reported.

The blue-chip Dow lost 280.01 points, or 2.4 per cent, to 11,230.73. The S&P 500 Index slipped 43.28 points, or 3.4 per cent, to 1,224.51. The technology-heavy Nasdaq Composite Index fell 59.95 points, or 2.6 per cent, to 2,209.81.

The US currency rose to 70.84 euro cents from 70.79 euro cents on Monday. The dollar slid against the Japanese currency to 106.89 yen from 108.19 yen.

Gold fell 25.25 dollars to 777.25 dollars per fine ounce from 802.50 dollars on Monday. (dpa)