Stocks fell sharply after a late selloff Monday after a report showed consumer credit rose slightly.

Stocks had zig-zagged throughout the session as the market remained jittery. Industrials, financials and tech were the weakest links.

The Dow Jones Industrial Average lost 115.48, or 1.2 percent, to close at 9,816.49, its lowest close since November 2009.

This came after the Dow slipped below 10,000 on Friday and into correction territory (down more than 10 percent from its recent high) after the May jobs report fell well short of expectations, rattling a market already jittery after Hungary warned of a possible default.

The S&P 500 shed 1.4 percent, while the Nasdaq lost over 2 percent. The CBOE volatility index, widely considered the best gauge of fear in the market, was above 36 at the closing bell.

(Source: CNBC)