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Stocks slipped on Tuesday as investors digested a sharp rebound from a strong selloff last week.
The Dow Jones Industrials removed 56.75 points to 26,079.04. The 30-stock index was on pace to snap a three-session winning streak.
The S&P 500 lost 7.76 points to 2,915.89
The NASDAQ handed back 11.68 points to 7,991.13
Micron Technology dropped 0.6%, and Advanced Micro Devices dipped 2.1%,. Netflix shares pulled back 2.9%.
Bank shares such as Citigroup, Bank of America and J.P. Morgan Chase all traded lower as Treasury yields pulled back.
Home Depot helped keep losses in check. Shares of the home improvement retailer rose 4.4% on better-than-expected earnings. However, Home Depot warned tariffs could hit consumer spending and cut its full-year revenue outlook.
Equities rose sharply on Monday as a rebound in bond yields continued, easing ongoing recession fears. The White House has also stepped in the ongoing debate over whether the U.S. economy will soon enter into recession mode, highlighting the strength in the U.S. economy.
Various media sources both reported the Trump administration was discussing a cut to payroll taxes as a way to mitigate slower economic growth. A White House official pushed back on the reports, saying cutting payroll taxes "is not something under consideration at this time."
Traders also looked ahead to the release of the Federal Reserve’s minutes from its July meeting. The central bank cut rates by 25 basis points last month, citing "global developments" and "muted inflation." The Fed minutes are scheduled for release Wednesday at 2 p.m. ET.
Prices for the benchmark 10-year U.S. Treasury regained lost ground, lowering yields to 1.55% from Monday’s 1.61%. Treasury prices and yields move in opposite directions
Oil prices dipped 37 cents to $55.84 U.S. a barrel.
Gold prices brightened $2.10 to $1,513.70 U.S. an ounce.
