Stocks closed lower on Wall Street, led by banks, industrial and health care companies.
Inflation, which would be a major drag on the overall market if it takes hold, remains a growing concern among investors.
The S&P 500 lost 0.9% Tuesday, and the Dow Jones Industrial Average gave back 1.4%.
Tech stocks, which get most of their valuation from the future profits those companies are expected to earn, become less valuable if inflation decreases the value of those earnings. Commodity prices have been rising, particularly for industrial metals such as copper and platinum, as well as for energy commodities including gasoline and crude oil.
Big technology companies were among the biggest decliners for a second consecutive day. Oracle fell 3%, and IBM fell 1.3%. Tech stocks have gotten hit in recent days as concerns about inflation impact the overall stock market.
Inflation has been a concern for investors since bond yields spiked earlier this year, though yields have mostly stabilized since then. The yield on the 10-year Treasury was steady at 1.62%. Despite reassurances from the Federal Reserve and a much weaker-than-expected U.S. jobs reading last week, investors have refocused on the potential for surging prices to pressure central banks into tapering off on their massive stimulus and ultra-low interest rates, analysts said.
