Stocks fell Wednesday as traders digested the latest commentary on the pace of future monetary policy from Federal Reserve Chair Jerome Powell, and chip names came under pressure.
The Dow Jones Industrials staggered 141.71 points to open Wednesday at 33,785.03.
The S&P 500 hesitated 9.57 points to 4,368.84.
The NASDAQ index bucked the trend and actually gained 10.56 points to 13,555.67.
Powell on Wednesday said there is more restriction coming, including the likelihood of more interest rate hikes at future meetings.
Chip stocks fell after The Wall Street Journal reported that the U.S. was considering new export restrictions to China. Nvidia shares lost 2%, while AMD fell more than 1%.
Investors are preparing to close out the best first half for the NASDAQ in 40 years, as they ride a wave of optimism around artificial intelligence that has significantly buoyed a handful of mega-cap tech stocks. The S&P 500 and NASDAQ Composite are higher this year by 14% and 29%.
Powell is speaking Wednesday morning before a policy panel at the European Central Bank Forum on Central Banking in Sintra, Portugal. Powell is joined by Bank of England Governor Andrew Bailey, European Central Bank President Christine Lagarde and Bank of Japan Governor Kazuo Ueda.
Prices for the 10-year Treasury enjoyed slight gains, lowering yields to 3.75% from Tuesday's 3.76%. Treasury prices and yields move in opposite directions.
Oil prices lost two cents to $67.68 U.S. a barrel.
Gold prices subtracted $5.50 to $1,918.30 U.S. an ounce.