The US markets closed lower on Monday, with the S&P 500 posting its lowest close since April 2014 amid a fresh drop in crude oil prices, jitters over European banks and continuing fears of a global economic slowdown. A fresh drop in oil prices amid continuing fears about the global oversupply of crude weighed on materials stocks, the worst performer on the S&P 500. Financials were the second-worst-performing sector on the S&P 500, as ultralow interest rates and widening credit spreads fueled concerns about banks’ balance sheets. There was no data scheduled for Monday or any Fed speeches and the week will end with retail sales data. US retail sales figures will meanwhile give clues to the state of consumer confidence in the world’s largest economy, as will US Federal Reserve Chair Janet Yellen’s testimony to the House Financial Services Committee scheduled on Wednesday.
The Dow Jones Industrial Average lost 177.92 points or 1.10 percent to 16,027.05, the Nasdaq was down 79.39 points or 1.82 percent to 4,283.75 while the S&P 500 dropped 26.61 points or 1.42 percent to 1,853.44.
The Indian ADRs closed in red; HDFC Bank was down 1.36%, Tata Motors was down 0.83%, Infosys was down by 0.80%, Wipro was down 0.38% and Dr. Reddy’s Lab was down 0.27%.