Wall Street’s main indexes gave up gains to trade slightly lower on Tuesday, as declines in industrial companies dampened early optimism over easing trade tensions and the prospect of an interest rate cut by the Federal Reserve.
The industrial sector fell 1.09%, weighed down by losses in United Technologies Corp and Raytheon Co.
United Technologies fell 4.1% and Raytheon 4.9%, a day after U.S. President Donald Trump gave mixed signals on whether he believed the $121 billion merger between the companies should go forward.
Optimism over Trump’s decision late on Friday to hold off import tariffs on Mexico has helped markets rally this week, even though the United States warned it would impose tariffs if its demands were not satisfied.
Separately, Trump said he would impose more tariffs on Chinese imports if there was no progress in talks with Chinese President Xi Jinping at the G20 summit.
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