U.S. stocks fell on Tuesday, ending a six-day winning streak for the S&P 500, as losses in Big Tech weighed on major indexes.
The S&P 500 declined 0.4%. The Dow Jones Industrial Average lost 114.83 points, or 0.3%, while the technology-heavy Nasdaq Composite closed 0.4% lower.
Alphabet and Amazon both fell more than 1%, while Apple and Nvidia dropped about 0.9% each.
Out of the “Magnificent Seven” tech stocks, the only one to post a gain was Tesla. Shares of the electric-car maker rose 0.5% after Chief Executive Elon Musk said that he would significantly cut back on his political spending and that he expected to remain head of Tesla five years from now.
The stock market has mostly been placid in recent days, shrugging off concerns about fallout from President Trump’s trade policies. Even after he walked back his aggressive “Liberation Day” tariffs, most U.S. trading partners still face a 10% baseline levy. Many economists expect those tariffs to ripple through into price increases and slower growth.
“It’s a little bit of a ‘what, me worry?’ type of market, and that’s exactly when folks like us worry,” said Lisa Shalett, chief investment officer at Morgan Stanley Wealth Management.
Much of the drama of recent days has taken place in the bond market, stoked by concerns about a huge tax-and-spending bill that is expected to add trillions of dollars to the national debt and a downgrade of the U.S. late last week by Moody’s Ratings.
The 10-year U.S. Treasury yield rose to 4.479% on Tuesday, in its second consecutive daily increase, as investors have shed longer-term government debt. The 30-year yield, which is even more sensitive to perceptions of the country’s fiscal health, rose to 4.967% on Tuesday.
“The bond market is going to be watching very carefully what happens in Congress this week,” said Carol Schleif, chief market strategist of BMO Private Wealth.
Shares on Home Depot fell 0.6% after the retailer missed quarterly profit expectations and said it would work to keep prices steady despite tariffs. That stood in contrast to Walmart, which signaled last week that its customers would face tariff-related price hikes, an announcement that provoked criticism from President Trump.
Overseas, policymakers sought to shelter their economies from the tariff fallout. Australia’s central bank on Tuesday cut rates to a two-year low. In China, banks lowered benchmark loan rates, tracking earlier easing by the People’s Bank of China.
Most European and Asian markets rose on Tuesday, with Hong Kong’s Hang Seng up 1.5%. Government bond prices fell in Japan, where yields shot up after a bond auction met poor take-up.
