NEW YORK (TheStreet) -- Stocks were modestly lower, though trading off session lows by mid-afternoon Monday after European markets closed in the red following a breakdown in Greek debt talks. The energy sector was also under pressure as crude oil prices fell.
The S&P 500 fell 0.41%, the Dow Jones Industrial Average dropped 0.71%, and the Nasdaq declined 0.39%.
The Organization of the Petroleum Exporting Countries hit its highest monthly production volume since October 2012. The group responsible for one-third of global supply produced 31.11 million barrels per day in May, according to the latest Platts survey.
West Texas Intermediate crude closed 0.7% lower to $59.52 a barrel. Exxon Mobil (XOM), Chevron (CVX), ConocoPhillips (COP) and Kinder Morgan (KMI) were all lower, while the Energy Select Sector SPDR ETF (XLE) dipped 0.3%.
"The crude complex continues to fall today as the sky-high production of OPEC and the U.S. shows no signs of slowing," said Schneider Electric commodity analyst Austin Sapp. "Traders seem to be losing hope that the strategy of OPEC is successfully stealing market share from competitors... Oversupply persists, pushing the crude complex down for now."
European markets closed 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.