Wall Street was hurting Monday due to more disappointing economic data and a mortgage lender on the brink of collapse.
The U.S. Commerce Department reported that construction spending fell 1.7% in January, marking the steepest decline in 14 years. Meanwhile, the Institute for Supply Management's manufacturing report came in at 48.3 for February, which was slightly better than expected. However, any reading below 50 indicates activity in the sector is slowing.
Investors were closely following Thornburg Mortgage (nyse: TMA - news - people ) Monday. The struggling lender, which revealed it had a weakened capital position last week, reported that it has been hit with an additional $270 million in calls since Feb. 28. That is putting tremendous pressure on its liquidity and pushing the company toward collapse. Thornburg fell more than 56%.
Meanwhile, airline stocks were grounded Monday as oil prices soared and the prospect of a near-term deal between Delta Air Lines (nyse: DAL - news - people ) and Northwest Airlines (nyse: NWA - news - people ) crumbled.
Delta's chief financial officer said that the airline is comfortable with remaining independent. Shares of Delta slipped 4% Monday, while Northwest was down 6%. Oil prices reached new records, and crude was trading above $103 a barrel.
Finally, market movers LeapFrog Enterprises (nyse: LF - news - people ), Midway Games (nyse: MWY - news - people ) and Brigham Exploration (nasdaq: BEXP - news - people ) will be reporting Monday after the close.
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