Investing.com – Wall St. closed lower on Tuesday, led by financials, as uncertainty concerning the timeline of the Trump administration pro-growth policies weighed on sentiment.
The Dow Jones Industrial Average closed 1.14% lower at 20,668. The S&P 500 shed 1.24% and the Nasdaq Composite closed at 5,793 down 1.83%.
The Federal Reserve’s dovish comments last week concerning the pace of the rate hikes and worries that President Donald Trump will struggle to implement some of his pro-growth policies, which includes tax reform, weighed on Financials and the broader market.
Goldman Sachs Group Inc (NYSE:GS), Wells Fargo & Company (NYSE:WFC), and Bank of America Corporation (NYSE:BAC) closed more than 3% down.
Meanwhile, better than expected economic data failed to lift sentiment as investors feared that Donald Trump would not be able to convince enough Republicans to repeal the Affordable Care Act ahead of a key House vote scheduled for Thursday.
Fears that the Trump administration’s plan to replace Obamacare may take longer than expected, sparked concerns of further delays to the introduction of pro-growth policies such as tax-reform.
Elsewhere, the Commerce Department said on Tuesday, the current account deficit, which measures the difference in value between exported goods, services and interest payments, fell 3.1% to $112.4 billion.
Economists had expected the current account deficit to shrink to $128.2 billion.
In corporate news, Apple Inc (NASDAQ:AAPL) failed to hold onto gains despite the announcement of a new version of its iPad and special edition of the iPhone 7 and iPhone 7 plus, expected in stores on Friday.
The top S&P 500 gainers included Chipotle Mexican Grill Inc (NYSE:CMG) up 2.8%, and Duke Energy Corporation (NYSE:DUK) up 1.8%, while PPL Corporation (NYSE:PPL) added 1.8%.
KeyCorp (NYSE:KEY) down 6.5%, Huntington Bancshares Incorporated (NASDAQ:HBAN) down 6.1% and Comerica Incorporated (NYSE:CMA) slumped 6.1%, were among the worst S&P 500 performers of the session.