Wall Street declined on Tuesday driven by losses in utilities, telecoms and industrials sectors, while investors assessed how a Republican US tax overhaul would impact corporate earnings.
The Dow Jones Industrial Average lost 0.45% to end at 24,181 points, while the S&P 500 ended down 0.37% at 2,630. The Nasdaq Composite fell 0.19% to 6,762. The S&P 500 fell for a third straight session, trimming the index's rally this year to 17%.
The tax bill passed on Saturday by Republican senators included a last-minute change retaining the corporate alternative minimum tax, or AMT, which had initially been removed. Including the AMT could negate parts of the bill seen as beneficial to tech companies and other corporations.
Ten of the 11 major S&P sectors fell, led by losses in telecom services and utilities.
Buoyed by a 2.53% increase in Electronic Arts Inc, the S&P 500 information technology index ended up 0.21%, but pared earlier gains of as much as 1.39%.
Shares of Twenty-First Century Fox slipped 0.30% after a report that Walt Disney was in the lead to acquire much of Fox's media empire, though rival suitor Comcast Corp remained in contention. Disney shares fell 2.72% and Comcast slipped 1.98%.
McDonald's rose 1.37%, providing the biggest boost to the Dow, after Jefferies upgraded the stock to a "buy" rating.
Home builders were among the worst-hit stocks after the luxury homebuilder Toll Brothers Inc’s profit and revenue missed analysts' expectations as it sold homes at prices lower than its own estimates. Shares fell 7.36%. Competitors PulteGroup Inc. fell 1.3%, while Lennar Corp. dropped 0.9%.
Mastercard Inc.'s stock rose 1.2% after the payments company announced a new $4 billion stock buyback program, along with a dividend hike.
In Asia, share markets fell in morning trade on Wednesday, following overnight declines in US stocks.
Australia's ASX 200 fell 0.24%. Japan's Nikkei 225 declined 0.78%, the Topix index was down 0.43%. Across the Korean Strait, the Kospi fell 0.32%.
In Hong Kong, the Hang Seng index traded flat. Chinese mainland markets were mixed as the Shanghai composite fell 0.43% and the Shenzhen composite added 0.19%.