01:09 PM EST, 02/19/2025 (MT Newswires) -- US equity indexes were mixed in choppy midday trading Wednesday as investors weighed geopolitical risks and punitive import tariffs amid a steeper-than-forecast slump in housing starts.

The Nasdaq Composite and the S&P 500 at their respective 20,031.7 and 6,131.2 levels changed little after trading lower earlier in the session. The Dow Jones Industrial Average, however, fell 0.3% to 44,437.1.

The Nasdaq and S&P 500 are pausing close to record highs, with investors cognizant of headline risk. The latter hit a fresh all-time peak on Tuesday, its second for this year, Deutsche Bank said in a note, adding that "it had already registered 11 all-time highs by this time last year and 57 in 2024 as a whole."

The US negotiations with Russia over Ukraine are starting to generate whispers of concern, Luke Templeman, a macro strategist at Deutsche Bank research, said in a note. Additionally, Trump's latest plan to impose 25% tariffs on auto, semiconductor, and pharmaceutical imports added concern such action could result in a global trade war.

The Trump administration's move to "penalize what Washington deems unfair trade practices, are set to provoke retaliation, drive up costs for businesses and consumers, and disrupt intricate global supply chains," Nigel Green, chief executive of the deVere Group, said in a note.

In economic news, January housing starts fell by 9.8% from the previous month to a 1.366 million annual rate, below expectations compiled by Bloomberg for a 1.39 million rate after an upwardly revised increase to a 1.515 million pace in December. Building permit rates rose to 1.483 million in January, above the 1.46 million expected and the 1.482 million in December.

Meanwhile, the New York Federal Reserve's services index fell to minus 10.5 in February from minus 5.6 in January, the lowest in more than a year and an indication of faster contraction in the sector.

Later on Wednesday, the minutes are due from the Federal Reserve's January rate-setting meeting. The minutes will likely be "stale on arrival" following Fed Chair Jerome Powell's two rounds of Congressional testimony last week and key data recently, Scotiabank said earlier this week. "The overall message is unlikely to materially deviate from one of patience and being in no rush to contemplate policy changes."

US Treasury yields traded mixed, with the 10-year up 1.6 basis points to 4.56% while the two-year down less than one basis point to 4.29%.

In company news, Devon Energy's ( DVN ) Q4 core earnings and revenue late Tuesday beat the average analyst estimates compiled by FactSet. Shares surged 8.7% intraday, among the top performers on the S&P 500.

Celanese (CE), also late on Tuesday, reported a year-over-year decline in Q4 adjusted earnings and sales. Its shares sank 24% intraday, the steepest decliner on the S&P 500.

Cadence Design Systems ( CDNS ) slumped 9.9% intraday, the worst performer on the Nasdaq after the company's full-year earnings outlook missed expectations.

West Texas Intermediate crude oil futures jumped 0.8% to $72.42 a barrel.

Gold futures fell 0.2% to $2,944.31, and their silver counterparts fell 1% to $33.06.