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U.S. blue chips fell on Monday on growing concerns about U.S. entering economic recession as no agreement on the next year's budget has been made and the fiscal cliff threatens to injure the nation's economy. House Republicans rejected President Obama's request for tax increases and suggested $1.4 trillion in spending cuts and $800 billion of revenue by limiting tax relief and bounding deductions for high-income earners. The Dow Jones industrial Average dropped 0.5% or, 59.98 points, to 12,965.60. All sectors within the index pared losses with Basic Materials, Oil and Gas, and Consumer Goods sectors loosing the most. The companies that slightly gained were Cisco systems, Merck & Co and Pfizer Inc, by their shares adding 0.74%, 0.32% and 0.20%, subsequently. Meanwhile, the shares of El du Pont de Nemours lost 1.74%, General electric fell 1.47% and Coca-Cola Co dropped 1.42%. The drug maker Merck & Co advanced as it has started a new drug research of the Alzheimer's disease.