The stock market pulled back on Tuesday as Wall Street digested the major indexes’ latest highs.
The Dow Jones Industrial Average fell 89 points, or 0.2%. The S&P 500 was down about 0.6%. The Nasdaq Composite dropped nearly 1%. All three marked record closing highs on Monday.
The yield on the 2-year Treasury note dropped to 3.59%, while the 10-year yield was down to 4.12%.
The market’s biggest strength on Monday—Big Tech and AI—was a major point of weakness on Tuesday.
“Markets have been grinding lower for most of the day but started to accelerate around 1 p.m.,” wrote Mizuho’s Daniel O’Regan. “Between the Ryder Cup, holidays and lack of catalysts, it’s a very slow Tuesday.”
President Donald Trump spoke at the United Nations. He also called off a meeting with Democratic lawmakers ahead of a Sept. 30 deadline to avert a government shutdown.
“I have decided that no meeting with their congressional Leaders could possibly be productive,” he wrote on Truth Social.
Federal Reserve Chairman Jerome Powell also spoke on Tuesday. Powell reiterated much of what he said during last week’s press conference, but a remark that “equity prices are fairly highly valued” may have caught some traders’ attention. Still, Powell noted it was not “a time of elevated financial stability risks.”
Whatever the reason for the market’s slide, Micron Technology’s earnings report is due out within the hour, which could be the next test for the artificial intelligence stock rally.