Oil traded sharply lower along with the

U.S. stock market

Monday.

The November contract for light sweet crude was tumbling $8.29 to $98.60 a barrel in recent trading on the New York Mercantile Exchange. November Brent crude was falling $7.80 to $95.74 a barrel.

The declines in oil and stock prices came as investor fears mounted about the growing weakness of the U.S. and world economies.

Investors were waiting anxiously Monday for the

House of Representatives

to vote on the U.S. government's proposed $700 billion bailout package for the struggling financial sector.

Meanwhile, the U.S. dollar was gaining sharply against the euro and pound but falling vs. the yen. As the U.S. Dollar Index climbed 1.2% to 77.90, the

U.S. Oil Fund

(USO) - Get Report

, an exchange-traded fund that tracks the daily performance of the spot WTI contract, was tumbling 7.5% to $79.77.

This article was written by a staff member of TheStreet.com.