New York ? Wall Street’s hopes for a turnaround dimmed Monday after another dose of disappointing economic news sent the Dow Jones industrials down nearly 270 points, their third straight triple-digit loss.

The selling, which followed the latest disappointing economic report, came after 11 weeks of heavy selling and further eroded the huge July rally that many investors had believed might be the beginning of a recovery. Analysts said that without any encouraging economic data, there was little reason to do much buying. Doubts about the banking sector also pressured stocks.

The Dow closed down 269.50, or 3.2 percent, at 8,043.63, for a three-session loss of 692.96 points. The selloff also pulled the index 192.18 points, or 2.3 percent, below the low of 8,235.81 it hit Sept. 21 following the terrorist attacks.

Broader stock indicators also fell. The Standard & Poor’s 500 index lost 29.64, or 3.4 percent, to 834.60, and the Nasdaq composite index dropped 41.91, or 3.4 percent, to 1,206.01 a new 5-year low. It last closed lower on April 21, 1997, when it stood at 1,203.95.

Monday’s selling followed a report by the Institute for Supply Management that showed the U.S. service sector grew in July, but at a slower pace than many economists had predicted. The group’s non-manufacturing index stood at 53.1 in July, after standing at 57.2 in June and 60.1 in May.

The news compounded a string of lackluster economic releases late last week including a weaker-than-expected gross domestic product, disappointing outlooks for business and manufacturing and flat unemployment figures.

More fighting in the Middle East, as well as concerns about the economic situation in Latin America, added to the uncertainty. On Monday, Uruguay received $1.5 billion from the U.S. Federal Reserve to help its ailing financial system. Brazil reportedly is seeking about $10 billion in similar assistance.

Investors viewed the turmoil as one more reason to lock in profits from the market’s late-July rally, which is fading quickly. At Monday’s close, only about 340 points remained of the 1,009-point rally that the Dow racked up between July 24 and July 29.