Crude oil prices continued their decline on Tuesday, pulling the energy sector lower and the S&P 500 from its records achieved last week.
The S&P 500 was down 0.1%, the Dow Jones Industrial Average fell 0.16%, and the Nasdaq was flat.
The Nasdaq and S&P 500 just barely clinched new records on Friday in a quiet end to the week. The two indexes had also closed out Thursday's session with records on strength in retail earnings. Costco (COST) , Best Buy (BBY) , Guess? (GES) and Abercrombie & Fitch (ANF) each posted positive quarters over the tail-end of last week.
Crude oil was under pressure as worries over global supply levels carried over into the new week. Crude had slumped on Thursday after an extension to a global output pact disappointed investors looking for more. The Organization of Petroleum Exporting Countries agreed in Vienna on a nine-month extension to a production-cut deal set to expire at the end of June. Goldman Sachs sees little growth in oil prices this year, projecting a level of $52.39 a barrel for 2017.
West Texas Intermediate crude fell 0.8% to $49.39 a barrel on Tuesday morning.
The energy sector was the worst performer on Tuesday. Major oil producers including Exxon Mobil (XOM) , Chevron (CVX) , PetroChina (PTR) , Statoil (STO) and ConocoPhillips (COP) were lower. The Energy Select Sector SPDR ETF (XLE) declined 1%.