By Burton Frierson
NEW YORK, March 27 (Reuters) - Stock prices fell around the globe on Friday as investors decided to take the money and run after a stunning 20-percent rally from lows earlier this month, while political strains punished the euro.
The euro suffered its biggest one-day loss against the dollar in more than two months after Germany's finance minister said fiscal irresponsibility in Europe could put the currency at risk.
A stronger dollar hurt oil and gold. As has often been the case since the start of the economic crisis, the rising dollar also coincided with weakening stocks.
Profit-taking explained much of the slide in New York, Europe and Tokyo in the wake of what many suspect was just a bear-market rally. Whatever the case, the stock market may be in for a period of reassessment.
"After the significant rallies, you will see these types of pullbacks," said David Sowerby, market strategist for Loomis Sayles in Detroit. "There remains significant macro uncertainty on consumer spending although the micro news has gotten marginally better."
In early afternoon trading, the Dow Jones industrial average .DJI was down 110.87 points, or 1.40 percent, at 7,813.69. The Standard & Poor's 500 Index .SPX was off 11.16 points, or 1.34 percent, at 821.70. The Nasdaq Composite Index .IXIC was down 25.87 points, or 1.63 percent, at 1,561.13.
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