NEW YORK (TheStreet) -- Stocks extended their losses on Friday afternoon, as Greece's debt woes continued with no sign of progress in negotiations with the country's creditors. Crude oil settled just below $60 a barrel.
The S&P 500 was down 0.80%, the Dow Jones Industrial Average slipped 0.91%, or 164 points, and the Nasdaq declined 0.68%.
The House of Representatives failed to pass a bill on Friday that would have given President Obama additional powers on trade deals.
European stocks ended in negative territory. Germany's DAX closed down 1.2%, France's CAC 40 slid 1.5%, and the FTSE 100 in London fell 0.9%. The Stoxx Europe 600 index closed 0.9% lower, ending the week just 0.1% higher.
Germany is planning for the possibility of a Greek exit from the euro, according to a German tabloid, after technical talks between the debt-ravaged nation and the International Monetary Fund broke down on Thursday. Germany is reportedly taking precautionary preparations such as capital controls in case of a default.
The International Monetary Fund's technical team returned to Washington from Brussels on Thursday as negotiations over Greece's future in the eurozone showed no progress. Discussions to secure Greece further debt relief in exchange for economic reforms will continue at a political level, IMF spokesman Gerry Rice said on Thursday. Greece has until June 30 to repay its debt obligations to the IMF.
"We believe that, despite the fact that the [Greek] government and its creditors remain far apart on key issues (pension reform is one example), reaching a deal on the 18 June Eurogroup meeting cannot be ruled out," SG Global Economics analysts wrote in a note. "We acknowledge, however, that the risk that discussions will continue until the very last minute ... is significant."