Stocks ended on a weak note Monday after a stronger dollar brought down prices for energy and other basic materials.
The Dow Jones industrial closed down 5 points after being up for most of the day. A report that consumers saved more than they spent last month hurt retailers. Treasury prices rose, sending interest rates lower, on lingering concerns about the economy.
A rise in the dollar made commodities more expensive for foreign buyers, sending their prices lower. Crude oil fell 61 cents to $78.25 per barrel on the New York Mercantile Exchange, while gold fell. Exxon Mobil Corp. fell 1.1 percent and Freeport-McMoRan Copper & Gold Inc. fell 2.9 percent.
The government said consumer spending rose 0.2 percent last month, just above the 0.1 percent growth forecast by economists polled by Thomson Reuters. However, personal income rose 0.4 percent. The bigger increase in income versus spending signals that consumers are saving more, which could hurt retailers and hamper overall economic growth.
Major retailers fell after the report. Macy's Inc. lost 1 percent, while Amazon.com Inc. fell 2.6 percent. Home Depot Inc. fell 2 percent.
Tobacco stocks rose after the Supreme Court said it wouldn't take up a case between the government and tobacco makers. The decision prevents the government from getting billions of dollars from makers of cigarettes for anti-smoking campaigns. Reynolds American Inc. rose 4.1 percent, while Altria Group Inc., parent of Philip Morris USA, rose 3.3 percent.
A separate decision from the court signaled that gun control laws in Chicago and a nearby suburb likely would be struck down by a lower court. That gave a boost to shares of gun makers. Smith & Wesson rose 5.6 percent, while Sturm, Ruger & Co. climbed 2.2 percent.
According to preliminary calculations, the Dow fell 5.29, or 0.1 percent, to 10,138.52 after being up 58 points.
The broader Standard & Poor's 500 index fell 2.19, or 0.2 percent, to 1,074.57. The Nasdaq composite index fell 2.83, or 0.1 percent, to 2,220.65.