Major Averages Climb Well Off Worst Levels But Still Close Lower

(RTTNews) - After showing a notable move to the downside in early trading on Monday, stocks regained some ground as the day progressed but still closed mostly lower. The drop on the day partly offset the strong upward move seen in the previous week.

Despite the recovery attempt by the broader markets, substantial weakness remained visible among gold stocks. The NYSE Arca Gold Bugs Index plunged by 4.1 percent after showing a strong upward move last week.

The sell-off by gold stocks came amid a decrease by the price of the precious metal, with gold for February delivery sliding $7.60 to $1,068.30 an ounce.

Energy stocks also ended the session firmly in negative territory moving lower along with the price of crude oil. Crude oil for February delivery tumbled $1.27 to $36.83 a barrel after jumping $2.04 or 5.7 percent to $38.10 a barrel in the previous week.

Reflecting the weakness in the energy sector, the Philadelphia Oil Service Index dove by 3 percent, while the NYSE Arca Oil & Gas Index and the NYSE Arca Natural Gas Index dropped by 2.2 percent and 2.1 percent, respectively.

Steel, electronic storage, and airline stocks also ended the day notably lower, while modest strength was visible among commercial real estate stocks.

The major averages ended the session in the red but well off their worst levels of the day. The Dow edged down 23.70 points or 0.1 percent to 17,528.27, the Nasdaq dipped 7.51 points or 0.2 percent to 5,040.99 and the S&P 500 fell 4.49 points or 0.2 percent to 2,056.50.