US stocks showed mixed movements with Nasdaq and S&P 500 closing lower after being pressured by a drop in large technology stocks.
The Dow Jones index rose and closed higher in a volatile trading session characterized by seasonally low liquidity.
All three major indexes failed to extend their positive momentum after posting two consecutive days of gains.
Investors continued to face uncertainty as optimism over economic stimulus mixed with concerns about a concentration in megacap technology stocks.
In addition, the NYFANG index fell 1.8% due to a decline in shares of Tesla and several other technology companies after making big gains earlier.
The S&P 500 index fell 0.11% to 6,198.01 points, the technology-focused Nasdaq fell 0.82% to 20,202.89 points, while the Dow Jones strengthened 0.91% to 400.17 points.
President Donald Trump announced that he did not intend to extend the July 9 deadline for trade negotiations, thus giving some confidence to the market.
However, tensions between Trump and Elon Musk caused Tesla shares to fall 5.4% following Trump's threat to cut billions of dollars in subsidies.
This situation prompted Musk to once again criticize the Trump administration over tax cuts and large government spending bills.
In other developments, labor market data also showed an increase in job openings, reflecting the resilience of the labor market and economic uncertainty.
Federal Reserve (Fed) Chairman Jerome Powell was cautious in considering cutting interest rates in the near term and dismissed pressure from Trump who called for an immediate interest rate cut.
Attention now turns to the NFP jobs report this Thursday, which could influence expectations for an interest rate cut in July.
