Stocks closed lower Tuesday as investors readied for key inflation reports due later in the week and progress on the U.S. debt limit.
The Dow Jones Industrials descended 56.88 points to finish the session at 33,561.81.
The S&P 500 index shed 18.95 points to 4,119.17.
The NASDAQ Composite sank 77.36 points to 12,179.55.
PacWest shares closed up 2.4%, after a volatile session.
Lucid, PayPal and Skyworks closed down after their quarterly reports were released. Meanwhile, Palantir jumped 23% on a strong earnings report and upbeat guidance.
President Joe Biden is hosting a meeting with House Speaker Kevin McCarthy Tuesday afternoon. Both sides have cautioned that the meeting is simply a chance to have a conversation, with definitive progress on raising the debt limit unlikely. Biden and McCarthy remain at odds over the House Speaker’s demand that a deal on raising the debt ceiling be tied to spending cuts. Biden maintains raising the debt ceiling is non-negotiable.
Treasury Secretary Janet Yellen said Monday afternoon that failing to raise the debt ceiling would be an “economic catastrophe,” and regulators are not close to any policies that would limit short-selling regional bank stocks.
Prices for the 10-year Treasury settled slightly back, raising yields to 3.53% from Monday’s 3.52%. Treasury prices and yields move in opposite directions.
Oil prices gained 34 cents to $73.80 U.S. a barrel.
Gold prices hiked $8.60 to $2,041.80 U.S. an ounce.
