Around the World's Markets: New York

US STOCKS declined as some investors took remarks by Federal Reserve chairman Alan Greenspan as a warning that shares may be overvalued. The Dow Jones index fell 108.28, or 1 per cent, to 11,090.17.

"Greenspan is holding to the notion that one never knows a bubble until it bursts - that's where the risk is for stocks," said one analyst. "There's a pretty good chance the Fed could raise rates again later this year."

The Nasdaq index fell 15.75, or 0.6 per cent, to 2,758.87.