Stocks fell, sending the S&P 500 down more than 1 percent on Monday, as investors fretted about the likely impact of a swine flu outbreak.

GM announces cost-cutting plan, shares jump.

The Standard & Poor's 500 Index .SPX> dropped 8.61 points, or 0.99 percent, to 857.62. The Dow Jones industrial average .DJI> fell 56.15 points, or 0.70 percent, to 8,020.14. The Nasdaq Composite Index .IXIC> lost 14.97 points, or 0.88 percent, to 1,679.32.

(Reporting by Rodrigo Campos; Editing by Theodore d'Afflisio)