Following the lackluster performance seen in the previous session, stocks moved mostly lower over the course of the trading day on Tuesday. The tech-heavy Nasdaq showed a particularly steep drop, underperforming the other two major averages.
The major averages ended the session at their worst levels of the day. The Dow fell 98.89 points or 0.5 percent to 21,310.66, the Nasdaq tumbled 100.53 points or 1.6 percent to 6,146.62 and the S&P 500 slid 19.69 points or 0.8 percent to 2,419.38.
The weakness on Wall Street came following news that the International Monetary Fund lowered its outlook for U.S. economic growth.
The IMF lowered its forecast for GDP growth this year to 2.1 percent from 2.3 percent and also slashed its outlook for GDP growth next year to 2.1 percent from 2.5 percent.
The group said its forecast uses a baseline assumption of unchanged policies due to uncertainty about President Donald Trump’s ability to accomplish his goals on tax reform and spending.
Negative sentiment was also generated by news that Senate Republicans have delayed a vote on their bill to repeal and replace Obamacare until after the July 4th recess.
The move by Senate Majority Leader Mitch McConnell, R-Ken., comes as several Republican Senators indicated they would vote against a procedural motion to begin debate on the bill.
McConnell reportedly told Republicans the bill would be rewritten over the recess and receive a new score from the Congressional Budget Office.
Additionally, a notable decline by shares of Alphabet (GOOGL) weighed on the Nasdaq, with the parent of Google sliding by 2.5 percent.
The drop came after Google was hit with a record $2.7 billion fine by European Union regulators over claims the company favored its own comparison-shopping service in search results.
Meanwhile, the Conference Board released a report showing an unexpected improvement in U.S. consumer confidence in the month of June.
The Conference Board said its consumer confidence index rose to 118.9 in June…