Washington Mutual shares fell 3.13 percent. Citigroup fell 7.59 percent and Wachovia shares fell 4.97 percent Monday. Among the most active stocks traded, Ford shares fell 5.4 percent Monday.

By close Monday, the Dow Jones industrial average was off 2.11 percent, or 239.61 points, to 11,131.08. The Nasdaq composite index fell 46.31 points to 2,264.22, off 2 percent. The Standard and Poor's 500 fell 23.39 points to 1,234.37, off 1.86 percent.

On the New York Stock Exchange, 857 stocks advanced and 2,289 declined on a volume of 1.172 billion shares traded.

The 10-year U.S. Treasury note rose 24/32 to yield 4.016 percent.

The euro traded at $1.574 Monday from Friday's close of $1.5699. Against the yen, the dollar was at 107.43 compared with Friday's close of 107.90.

Tokyo's Nikkei 225 Index closed up 19.02 points to 13,353.78, up 0.14 percent.

The FTSE 100 index in London fell 40.00 to 5,312.60, off 0.75 percent.