US stocks plunge on eurozone concerns

US stocks declined in early trade on Monday as the European Union’s 85 billion euro ($113 billion) financial assistance package for Ireland failed to boost investor sentiment.

The S&P 500 Index declined 14.26 points, or 1.20 percent, to trade at 1,175.36 at 10:10 a.m. EDT. The Dow Jones Industrial Average declined 150.20 points, or 1.35 percent, to trade at 10,941.80. The Nasdaq Composite Index dipped 1.29 percent.

Investors continued to worry about the sovereign debt problems as they believe that the bailout of Irish banks will not be enough to ensure the region's financial stability.

The European Union finance ministers agreed on an 85 billion euro rescue for Ireland on Sunday and outlined a permanent system to resolve Europe's debt crisis, in which investors could share the cost of any future default.

The Irish government said 35 billion euros will go into propping up the Republic's banking system, of which 10 billion will be made available for immediate recapitalization, while the remaining 50 billion euros will cover the country's budget needs.

Among the Dow components, HP plunged 2.25 percent, Exxon Mobil fell 1.26 percent and Chevron declined 1.83 percent.

Shares of Boeing declined 1.8 percent after JPMorgan lowered its 2011 profit projections due to the expected six-month delay in the 787 Dreamliner program.

Amazon.com shares rose 0.86 percent on Cyber Monday as many consumers shop online when they return to the office. The U.S. online retail sector delivered double digit growth on Black Friday 2010 compared with the year-ago levels, according to a report from IBM.

AMAG Pharmaceuticals Inc. surged 13.52 percent after the company said it agreed with U.S. FDA regarding an update to the product label for Feraheme (ferumoxytol) Injection for intravenous use.

The euro plunged 1.31 percent to 1.3068 against the dollar on debt fears and the yen gained 0.32 percent against the greenback.

Crude oil futures advanced 0.07 percent to $83.82/barrel and gold futures declined 0.30 percent on strong dollar.

European stock markets are currently trading lower with FTSE100 down by 64.44 points, DAX30 down by 97.36 points and CAC 40 down by 55.39 points.