NEW YORK (TheStreet) -- Stocks closed modestly lower on Monday, caught in the crosshairs of worries over a looming Federal Reserve meeting on Tuesday and flailing Greek debt talks.
The S&P 500 fell 0.45%, the Dow Jones Industrial Average dropped 0.59%, and the Nasdaq declined 0.42%.
Fed members will convene for their two-day meeting on Tuesday. An announcement will be released and a press conference held mid-afternoon Wednesday. Economists do not expect Fed members to elect to raise interest rates until September at the earliest. Click here for more.
"Activity is not yet strong enough to give the Fed 'reasonable confidence' that progress in the labor market will continue," said SG Global Economics' Michala Marcussen. "Therefore, we do not expect any signals regarding the timing of the lift-off in rates."
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 that would allow Greece access to additional debt relief before its repayments to the International Monetary Fund come due June 30. Click here for more.
Greece has another chance to negotiate terms for further debt relief at a meeting of eurozone finance ministers on Thursday. Click here for more.
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.