Stocks Plunge On Weak Global Cues -- U.S. Commentary

(RTTNews) - Stocks were hammered Monday, with the major averages tumbling deep into negative territory over the course of a dismal session on Wall Street.

Weak economic cues out of China once again raised concerns about the health of the global economy.

Biotech shares were hit hard, extending recent losses due to worries about increased regulatory scrutiny of drug prices.

Monday's losses added to a slide that marked most of last week.

The S&P 500 fell 49.56 points, or 2.6% to settle at 1,881.78. However, Alcoa Inc. (AA) rose 2% after announcing it plans to split into two publicly listed companies.

The Dow Jones Industrial Average lost 312.78 points, or 1.9%, at 16,001.89. The Nasdaq Composite dropped 142.52 points, or 3%, to finish at 4,543.97.

Apple, Inc. (AAPL) set a new record for first weekend sales of iPhone 6s and 6s Plus, having breached the 13 million mark within just three days of its sales launch on September 25. Shares slipped 2%.

International Business Machines Corp. (IBM) said Monday that it plans to buy Meteorix LLC, a premier Workday Inc. (WDAY) services partner.

China's industrial profits declined in August as product prices continued to decrease, China's National Bureau of Statistics reported Monday. Industrial profits fell 8.8 percent in August from a year ago.

In the U.S., a measure of strength in the housing market unexpectedly declined for August, raising concerns that home sales figures might be poised for a decline in the near future.

The National Association of Realtors revealed that its pending home index fell 1.4 percent in August. This came as a surprise to economists, who were generally expecting a 0.5 percent increase for the month.

Meanwhile, data released by the U.S. Department of Commerce showed that personal spending rose by 0.4 percent in August. Economists had expected the figure to rise by 0.3 percent.

Income also increased during the month. The figures showed a 0.3 percent advance during August, below expectations of a 0.4 percent increase.