Investing.com - U.S. stocks opened lower in thin trade on Monday, as concerns over political uncertainty in the euro zone continued to dampen market sentiment.
During early U.S. trade, the Dow Jones Industrial Average declined 0.32%, the S&P 500 index fell 0.22%, while the Nasdaq Composite index edged 0.14% lower.
Market sentiment weakened after the European Central Bank said last week that it would monitor developments in the markets to see if the stronger euro had an effect on the inflation outlook.
Investor confidence was also hit by uncertainty ahead of upcoming elections in Italy and renewed political tensions in Spain where the government has become embroiled in a corruption scandal.
In the U.S., official data showed on Friday that the trade deficit narrowed more-than-expected in December, moving to USD38.5 billion from a deficit of USD48.6 billion.
Analysts had expected the trade deficit to narrow to USD46 billion in December.
Google dropped 0.76% following reports Executive Chairman Eric Schmidt is selling roughly 42% of his stake in the company.
Tech stocks were also in focus, as three of Dell's largest investors joined Southeastern Asset Management on Friday in objecting to a USD24.4 billion buyout of the PC maker led by Chief Executive Michael Dell. The news sent shares in Dell down 0.66%.
On the upside, Apple added 0.22%, after the New York Times reported that the tech giant is experimenting with the design of a device similar to a wristwatch that would operate on the same platform as the iPhone and would be made with curved glass.
Elsewhere, Boeing retreated 0.40%, even as it ompleted what it called an uneventful flight on Saturday of a test 787 Dreamliner. It was the aircraft's first flight since the Dreamliners were grounded more than three weeks ago after a series of battery-related problems.
Among earnings, Boardwalk Pipeline Partners reported that its fourth quarter earnings surged by 26%, beating analysts' estimates and sending shares up 0.11%.
Across the Atlantic, European stock markets were mixed. The EURO STOXX 50 slipped 0.11%, France’s CAC 40 rose 0.26%, Germany's DAX fell 0.25%, while Britain's FTSE 100 edged up 0.20%.
During the Asian trading session, Hong Kong's Hang Seng Index and Japan’s Nikkei 225 Index remained closed for national holidays.