US stocks open slightly lower, extending recent decline; European markets drop on Greece
U.S. stocks are mostly lower in early trading Monday, extending a recent slump.
Stocks have dropped for the last two weeks amid speculation that the Federal Reserve will raise its benchmark interest rates later this year as the economy continues its slow, but steady, recovery.
Fears over a Greek debt default following a tense few days between the country's government and its creditors weighed on European stock markets, particularly in Germany.
KEEPING SCORE: The Standard & Poor's 500 index dropped three points, or 0.2 percent, to 2,089 as of 10:06 a.m. Eastern. The Dow Jones industrial average fell 22 points, or 0.1 percent, to 17,827. The Nasdaq composite fell 13 points, or 0.3 percent, to 5,054.
EUROPE'S DAY: In Europe, Germany's DAX was down 1.1 percent while the CAC-40 in France was 1.1 percent. The FTSE 100 index of leading British shares was flat.
GREEK FEARS: Talks between Greece and its creditors have been deadlocked since late last week, when Greek Prime Minister Alexis Tsipras rejected as unacceptable a proposal made by the three institutions overseeing the country's bailout, the European Central Bank, International Monetary Fund and European Commission.
A resolution to the talks is needed by June 30, when Greece's bailout program ends. Without fresh funds, Greece is unlikely to be able to repay its debts and could end up crashing out of the euro. Jitters over Greece's financial future have been a cloud over markets in recent days, notably in Germany where the DAX is down more than 10 percent from its April peak.
CHANGE AT THE TOP: Deutsche Bank bucked the trend, surging 6 percent after the company said its co-CEOs, Anshu Jain and Juergen Fitschen, will step down early. Jain will depart at the end of this month while Fitschen will follow next May. They will be succeeded by British banker John Cryan, initially as co-CEO with Fitschen and then in sole charge. Cryan is currently a member of the company's supervisory board. Deutsche Bank's U.S.-listed shares gained $1.77 to $32.39.
ENERGY: Benchmark U.S. crude oil dropped 30 cents to $58.83 a barrel in electronic trading on the New York Mercantile Exchange following OPEC's decision to keep its oil output target on hold. Brent crude, a benchmark for international oil used by many U.S. refineries, fell 36 cents to $62.95 per barrel in London.
BONDS AND CURRENCIES: In government bond trading, prices rose. The yield on the 10-year note fell to 2.37 percent. The yield had risen to its highest level of the year on Friday. The dollar slipped to 125.14 yen from 125.61 yen on Friday. The euro strengthened to $1.1204 from $1.1113.