Wall Street extended early losses yesterday, as the declining commodity prices dragged down energy and mining companies.

Oil price resumed decline and touched a five-month low, which dropped US$2.49 to US$103.85 a barrel on the New York Mercantile Exchange. Meanwhile, copper slid for a fourth day. Energy and mining firms such as Devon Energy Corp. and Freeport-McMoRan Copper & Gold Inc. tumbled.

Moreover, a person familiar with the discussions said Lehman Brothers' talks with Korea Development Bank about selling a stake broke down. Lehman plummeted over 40 percent in morning trading.

In economic news, the US National Association of Realtors posted that reading of pending home sales fell 3.2 percent in July after rising 5.8 percent in June. The decline came larger than the previous estimates.

The Dow Jones Industrial Average fell 124.66 to 11,386.08. The Standard & Poor's 500 Index decreased 20.34 to 1,247.45. The Nasdaq Composite Index slipped 26.04 to 2,243.72.