The stock market logged its longest losing streak since January, as the sell-off that began last week continued.
Companies that sell goods and services that are not essential for shoppers led declines on Monday.
CarMax slumped after the used car dealer posted earnings late Friday and Mattel dropped on concerns about the outlook for the toymaker's sales.
The Dow Jones industrial average dropped 166.84 points, or 1.02 percent, to 16,245.87.
The Standard & Poor's 500 index fell 20.05 points, or 1.1 percent, to 1,845.04.
The Nasdaq composite dropped 47.97 points, or 1.2 percent, to close at 4,079.75.
For the year:
The Dow Jones industrial average is down 330.79 points, or 2 percent.
The Standard & Poor's 500 index is down 3.32 points, or 0.2 percent.
The Nasdaq composite is down 96.84 points, or 2.3 percent.