© Reuters. Investing.com - After three days of big gains, stocks pulled back on Tuesday.
The S&P 500 fell 0.8%. The Dow dropped 0.7%, and the Nasdaq Composite slid 0.7%.
The easy explanation - also a likely one - is that investors decided to cash in recent gains to see what will happen next. The risks to the market haven't gone away, and investors showed their concerns with a wave of selling in the last 15 minutes of trading.
The major averages finished more than 4% below their peaks reached in July.
“For some time, we have been concerned that investors were too reliant on Fed rate cuts and too complacent about the prospects for a China trade deal, and we are now seeing the market waking up to these risks," wrote David Spika, president of GuideStone Capital Management, in a Tuesday note. "There is way too much uncertainty to be near-term bullish today,"
Tech shares were held back (with Apple (NASDAQ:AAPL) an exception) by a Wall Street Journal report that as many as 20 states attorneys general will launch a joint antitrust investigation of large technology companies.
Oil prices were basically flat, with West Texas Intermediate crude down a penny at $56.13. Brent crude added 29 cents to $60.03 a barrel.
U.S. energy stocks, particularly oil-and-gas production and oil services companies, were struggling.
Retail stocks were getting hit, particularly Macy’s (NYSE:M) and Nordstrom (NYSE:JWN).
And in Europe, there was a growing political crisis in Italy after its prime minister resigned.
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