US markets end lower

CNBC's Margaret Brennan - Oil prices fell on Monday but that wasn’t enough for the stock market to post gains, the Dow ended the day lower by 56 points, the Nasdaq down by 2 points.

Shares of mortgage lenders Fannie Mae and Freddie Mac led the charge downward after an analyst raised concerns that the companies may need to raise additional USD 75 billion in capital. Fannie Mae closed its lowest value in16 years down 16%. Freddie Mac at its lowest value at 14-years down 18% on the day. Weakness has spread throughout the brokers Lehman Brothers closed down more than 8%, Goldman Sachs lower by 5% and regional banks also fell by that pressure.

Oil prices dropped by nearly USD 4/bbl pushed by the strength in the US dollar, a barrel will cost you USD 141.37/bbl as Monday’s close. Drop in prices had initially fueled stock market rally before those concerns surfaced about Fannie Mae and Freddie Mac.

GM has reported that they are considering selling some brands and plans to cut more white-collar jobs; investors liked management’s efforts to revive the automakers sending the shares up more than 1%. Ford also traded up on that news.

Wall Street action:
Dow closed down 56 pts, Nasdaq down 2 pts
Fannie Mae at 16-yr low, down 16%
Freddie Mac at 14-yr low, down 18% 
Fannie Mae & Freddie Mac down on concerns that they may need to raise $75 bn in capital
Lehman down 8%, Goldman Sachs down 5%
Oil fell nearly $4 pushed by strength in dollar
Oil prices drop fuelled rally before concerns over Freddie & Fannie surfaced
GM up nearly 1% on news of co considering selling some brands