March 2 (UPI) -- U.S. markets dropped on Tuesday amid losses by major technology names erasing some gains after a strong start to the month.
The Dow Jones Industrial Average fell 143.99 points, or 0.46%, while the S&P 500 dropped 0.81% and the tech-heavy Nasdaq Composite closed the day down 1.69%.
Tesla stock dropped 4.45%, Facebook declined 2.23%, Apple fell 2.09%, Amazon dipped 1.64% and Microsoft closed down 1.3%.
The S&P 500's tech and consumer discretionary sectors led its decline Tuesday, each falling more than 1%, after all 11 sectors reported gains on Monday and the index marked its best day since June.
"Markets may be trapped in a tug-of-war between what they expect to happen and pandemic-fueled insecurities, which are compounded by other, harder to quantify, market impulse," Chris Hussey, a managing director at Goldman Sachs, said according to CNBC. "On days like today, with no news and little macro to help investors keep the faith, we see 'what ifs' emerge -- sideways trading, across all sectors, coupled by a pull back in rates."
Investors have also been closely monitoring the 10-year Treasury yield which fell below 1.41% on Tuesday after rising to a high of 1.61%.
Despite the interest rate declining this week some investors remained concerned that economic recovery from the COVID-19 pandemic, including additional rounds of stimulus, could lead yields to trend higher.
Michael Arone, State Street Global Advisors chief investment strategist, said, however, that he doesn't believe rising interest rates will be "an impediment for stocks."
"As long as the economy continues to accelerate [and] rebound, earnings figures continue to come in solidly, I think that will allow us to tolerate higher interest rates," Arone told Yahoo Finance. "I think the real concern is that if the economy begins to slow down or the recovery isn't as robust as expected, I think that'll be the real challenge."