Major US stock indexes were little changed in midday trading Monday as investors weighed the implications of another slump in China's stock market.
Energy companies were among the biggest decliners as the price of crude oil fell.
The Dow Jones industrial average was little changed at 16,348 as of 12:14 p.M. Eastern time. The S&P 500 index shed less than one point to 1,921. The Nasdaq composite lost 11 points, or 0.3 per cent, to 4,631. The market losses come after US stocks posted their worst week in more than four years.
"Investors have one eye on China, and all that's going on there, and the other eye on oil," said Erik Davidson, chief investment officer at Wells Fargo Private Bank. "Those two things are keeping investors on pins and needles right now."
Benchmark US crude shed USD 1.83, or 5.5 per cent, to USD 31.36 a barrel in New York. Brent crude, a benchmark for international oils, fell USD 2.06, or 6.1 per cent, to USD 31.87 a barrel in London.
Several energy and mining companies slumped as crude oil and other commodity prices fell. Freeport-McMoRan sank 99 cents, or 18 percent, to USD 4.41, making it the biggest decliner in the S&P 500 index. Consol Energy also slumped, losing 87 cents, or 11.3 per cent, to USD 6.82. Southwest Energy shed 54 cents, or 7.8 per cent, to USD 6.41.
Irish drugmaker Shire announced its long-rumored agreement to buy US-based rival Baxalta for about USD 32 billion in cash and stock. The boards of both companies have agreed to the deal, and they expect it to close in the middle of the year. Shire slid USD 3.52, or 8.2 per cent, to USD 39.25. Baxalta fell 82 cents, or 2 per cent, to USD 39.19.
HCA Holdings jumped 6.9 percent after the hospital operator raised its profit forecast. The stock added USD 4.41 to USD 68.68. Tenet Healthcare also rose, climbing 74 cents, or 2.9 per cent, to USD 26.08. Both companies were among the biggest gainers in the S&P 500 index.
