NEW YORK (TheStreet) -- Stocks slumped on Monday, following European markets to the downside in a selloff after Greek debt talks broke down. Health care stocks were the worst performers in a broad-based selloff.
The S&P 500 fell 0.77%, the Dow Jones Industrial Average dropped 0.87%, and the Nasdaq declined 1%.
European markets were sharply lower after negotiations between Greece and its European creditors broke down on Sunday, reportedly after only 45 minutes. Both sides are standing firm on proposed austerity measures with no agreement in sight which would allow Greece access to additional debt relief before its repayments to the International Monetary Fund come due June 30.
"Some would claim that [Greece] has already technically defaulted on its debt by opting to bundle all of this month's 1.6B euros debt payments to the end of this month, but if no deal is reached by July, the prospect of a Grexit (Greek exit from the eurozone) could become the base case," said Matt Weller, senior technical analyst at Forex.com.
Greece has another chance to negotiate terms for further debt relief at a meeting of eurozone finance ministers on Thursday.
Germany's DAX fell 1.9%, France's CAC 40 was down 1.4%, and the FTSE 100 in London slid 1.1%. The Athens Stock Exchange fell 5.2%.