U.S. stocks fell, sending the Standard & Poor’s 500 Index to a three-month low, after Goldman, Sachs & Co. told investors to sell shares of Citigroup Inc. and Lowe’s Cos. cut its earnings forecast for a second time in two months.

Citigroup retreated to its lowest level in four years after Goldman said credit-market losses may cause the biggest U.S. bank by assets to report $15 billion in writedowns over the next two quarters. Merrill Lynch & Co. and Morgan Stanley also slumped after Goldman cut its share-price estimate on both companies. Lowe’s, the second-largest home-improvement retailer, slid to the lowest level since 2003 after the housing slump caused a drop in profit.

The Standard & Poor’s 500 Index lost 22.59, or 1.6 percent, to 1,436.15 at 3:04 p.m. in New York, its lowest value since Aug. 28. The Dow Jones Industrial Average fell 193.06, or 1.5 percent, to 12,983.73. The Nasdaq Composite Index decreased 40.67, or 1.5 percent, to 2,596.57. The Dow Jones Transportation Average slid 104.49, or 2.3 percent, to 4,459.35. More than six stocks dropped for every one that rose on the New York Stock Exchange. [MORE]