US stocks open lower on downbeat data

U.S. stocks opened lower on Monday as U.S. economic data came out much weaker than expected.

The August 2015 Empire State Manufacturing Survey indicates that business activity declined for New York manufacturers.

The headline general business conditions index tumbled 19 points to minus 14.9, its lowest level since 2009 and well below market consensus of a 4.75-percent gain, reported the New York Fed on Monday.

Wall Street will also keep a close eye on the Fed minutes scheduled for release on Wednesday, which was expected to give more clues on the timing of an interest rate hike.

Overseas, Japan's gross domestic product (GDP) shrank by an annualized 1.6 percent in the second quarter of 2015, contracting for the first time in three quarters, government data showed Monday.

The Japanese benchmark 225-issue Nikkei Stock Average, however, ended 0.49 percent higher as the contraction of second quarter 2015 was better-than-expected.

Shortly after the opening bell, the Dow Jones Industrial Average went down 104.46 points, or 0.60 percent, to 17,372.94. The S&P 500 decreased 10.18 points, or 0.49 percent, to 2,081.36. The Nasdaq Composite Index dipped 21.30 points, or 0.42 percent, to 5,026.94.

On Friday, U.S. stocks gained after wavering between gains and losses in a narrow range as investors assessed a batch of economic data.