Stocks extend losses with major indexes hitting session lows by late afternoon trade on Monday on fears that a divided parliament in Italy would get in the way of the country's reforms and hamper the euro zone's stability.

The Dow Jones industrial average <.DJI> was down 75.15 points, or 0.54 percent, at 13,925.42. The Standard & Poor's 500 Index <.SPX> was down 10.44 points, or 0.69 percent, at 1,505.16. The Nasdaq Composite Index <.IXIC> was down 12.36 points, or 0.39 percent, at 3,149.46.

The CBOE Volatility index VIX <.VIX>, Wall Street's so-called fear gauge soared 20 percent to 17.03, it biggest daily jump since Nov 9.

(Reporting By Angela Moon; Editing by Nick Zieminski)