US STOCKS-Dow falls 2 pct as recession fears escalate

(Updates to show Dow falling 2 percent)

NEW YORK, Feb 5 (Reuters) - The Dow industrials briefly fell 2 percent on Tuesday as stocks tumbled amid escalating recession worries after a report showed a contraction in the services sector.

The Dow Jones industrial average .DJI was down 230.37 points, or 1.82 percent, at 12,404.79. The Standard & Poor's 500 Index .SPX was down 25.83 points, or 1.87 percent, at 1,354.99. The Nasdaq Composite Index .IXIC was down 34.56 points, or 1.45 percent, at 2,348.29. (Reporting by Caroline Valetkevitch; Editing by Kenneth Barry)