Stocks opened on the back foot as expected, taking their lead from European markets.
The weakening oil price has not helped sentiment; West Texas Intermediate for July delivery was down 72 cents, or 1.4%, at $49.85 a barrel.
The S&P 500 was down 15 points, or 0.7%, at 2,100, while the Dow Jones was off 86 points (0.5%) at 17,900.
Stock offerings were in focus in early deals. Gevo Inc (NASDAQ:GEVO) lost a third of its value, sliding to $0.46 as it announced the price of its share offering to raise $9.5mln.
The renewable chemicals and bio-fuels company said the new shares would be offered at 45 cents each.
Real estate company Great Ajax Corp (NYSE:AJX) fell almost a dollar to $13.02 as it said it was seeking to raise around $30mln through the issue of 2.3mln shares.
Pre-open
The Dow Jones average is set for a triple digit fall, with investors taking their cue from Europe, where markets are reeling.
“Apprehension likely stems from what bearing China data (Industrial Production, Retail Sales, Investment) will have on sentiment come Monday morning as well as a US dollar bounce hurting the commodity space, taking oil from its 2016 recovery highs,” suggested Mike van Dulken, head of research at Accendo Markets.
As ever, gold is proving a popular haven for risk-averse investors, with the price of the yellow metal reaching a three-week high this morning.
The Dow Jones average, which dipped below the 18,000 level yesterday to close at 17,985, is set to open at around 17,872, while the broader-based S&P 500 is seen opening around 14 points lower at 2,101.
On the corporate front, Bank of America (NYSE:BAC) shares have been marked down in pre-market trading after a court in New York instructed the bank to spill the beans on its 2008 takeover of Countrywide Financial.