The CNN Money Fear and Greed index showed a slight decline in the overall market sentiment, while the index remained in the “Fear” zone on Tuesday.

U.S. stocks settled lower on Tuesday, with the Nasdaq Composite falling more than 1% during the session amid a decline in chip stocks.

On the economic data front, the U.S. trade deficit rose to $77.6 billion in May versus a revised $54.6 billion gap in April, compared to market estimates of a $78.5 billion shortfall. The latest gap was the largest since March 2025, with imports rising 3.3% to $395.3 billion.

Most sectors on the S&P 500 closed on a positive note, with health care, real estate and energy stocks recording the biggest gains on Tuesday. However, information technology and industrials stocks bucked the overall market trend, closing the session lower.

The Dow Jones closed lower by around 131 points to 52,925.15 on Tuesday. The S&P 500 fell 0.45% to 7,503.85, while the Nasdaq Composite declined 1.16% to 25,818.69 during Tuesday’s session.