NEW YORK (AP) - Falling oil prices dragged the stock market lower on Monday as Exxon Mobil, Chevron and other big energy companies sank along with crude.
The steep drop in oil prices over recent months has investors second-guessing expectations for the quarterly earnings season that starts this week.
The Standard & Poor's 500 index lost 16.55 points, or 0.8 percent, to close at 2,028.26. The Dow Jones industrial average slid 96.53 points, or 0.5 percent, to 17,640.84, and the Nasdaq composite lost 39.36 points, or 0.8 percent, to 4,664.71.
In a wide-ranging note to clients, Goldman Sachs slashed its forecast for oil prices. It now estimates that that crude will average $50.40 a barrel this year, far below its previous forecast of $83.75. It also trimmed its forecast for Brent crude, a type used in international markets, to $70 a barrel from $90.
Oil prices extended their slide, with U.S. crude losing $2.29 to settle at $46.07 a barrel. Brent lost $2.68 to $47.43. Both trade at their lowest levels since March of 2009.
Monday also marked the unofficial start to the fourth-quarter earnings season as Alcoa turned in its latest quarterly results after the closing bell. The aluminum producer reported stronger earnings and revenue than Wall Street expected, pushing the stock up 20 cents, or 1 percent, to $16.38 in extended trading.