NEW YORK — Worries about the outlook for growth in China and a slide in the price of oil pushed the stock market to its biggest loss in almost seven weeks Monday.
Investors are nervous about China following a run of soft economic data that suggests growth in the world’s second-largest economy is slowing. The worries about China helped push down the price of oil. That, in turn, affected energy stocks.
The stock market has struggled to gain traction this month as investors have weighed signs of an improving economy in the U.S. against evidence of slowing growth in both Europe and Asia.
“We’ve got China weighing down on stocks,” said Kristina Hooper, U.S. investment strategist at Allianz Global Investors. “The lack of transparency there always creates greater uncertainty.”
The Standard & Poor’s 500 index dropped 16.11 points, or 0.8 percent, to 1,994.29. The loss was the biggest one-day decline for the index since Aug. 5.
The Dow Jones industrial average fell 107.06 points, or 0.6 percent, to 17,172.68. The Nasdaq composite dropped 52.10 points, or 1.1 percent, to 4,527.69.
The losses were broad, and all 10 industry sectors that make up the S&P 500 declined. Energy stocks were the second-biggest decliners, slumping 1.4 percent as the price of oil fell. Companies that rely the most on consumer spending, such as entertainment and media conglomerates and retailers, fell the most.
The price of oil dropped to $91.52 on concerns that Libya’s production is picking up at a time when global economic indicators point to weaker demand from countries including China.
Some analysts say investors should regard any pullback in stock prices as an opportunity to add to their holdings. Recent reports on the manufacturing and the service industries have been strong. Hiring is picking up and inflation remains tame.
“The fundamentals in the U.S. have been coming in strong, beyond expectations,” said Doug Cote, chief market strategist at Voya Investment Management. “It’s a modest pullback. If anything I would take it as an opportunity to build positions.”
