04:52 PM EDT, 03/11/2025 (MT Newswires) -- US benchmark equity indexes closed lower Tuesday as markets tracked tariff updates and awaited the official consumer inflation report for February.

The Dow Jones Industrial Average fell 1.1% to 41,433.5, while the S&P 500 declined 0.8% to 5,572.1. The Nasdaq Composite slipped 0.2% to 17,436.1. All sectors posted declines, led by industrials.

Canada's Ontario province has agreed to suspend a planned 25% surcharge on electricity exported to three US states as US Commerce Secretary Howard Lutnick agreed to renew trade discussions, Ontario Premier Doug Ford said Tuesday.

US President Donald Trump no longer plans to double the proposed steel and aluminum tariffs on Canadian imports, top White House trade advisor Peter Navarro told CNBC. That came after Trump threatened to boost the metals tariffs on Canada, in response to Ontario's prior move to place duties on electricity exported to the US.

US Treasury yields moved higher, with the 10-year rate rising 6.9 basis points to 4.28% and the two-year rate advancing 5.5 basis points to 3.95%.

Official data are expected to show Wednesday that US consumer inflation rose 0.3% sequentially and 2.9% annually last month, according to a Bloomberg-compiled consensus. The metrics advanced 0.5% and 3%, respectively, in January. The producer price report for last month is scheduled to be released Thursday.

"After four months of acceleration, a relatively benign February (producer price index and consumer price index reports) should offer welcome calm amid rising fears of upside inflation risks," Stifel said in a Tuesday note to clients. "While nominally price pressures remain elevated, a resumption of a cooling disinflation trend is likely to furthermore reinforce expectations for at least some further policy easing in the second half of the year."

Small business optimism in the US declined more than expected in February as uncertainty on Main Street grew to the second-highest reading on record, a survey by the National Federation of Independent Business showed.

US job openings increased to 7.74 million as of the last day of January from 7.51 million the previous month, according to the Bureau of Labor Statistics' job openings and labor turnover survey. The consensus was for a level of 7.6 million in a survey compiled by Bloomberg.

West Texas Intermediate crude oil rose 0.8% to $66.56 a barrel Tuesday. However, "gains were capped" amid tariff concerns, D.A. Davidson said in a note.

In company news, Verizon Communications' ( VZ ) subscriber growth is expected to be "probably soft" in the first quarter, Chief Revenue Officer Frank Boulben said. The telecommunications giant's shares slumped 6.6%, the steepest decline on the Dow and among the steepest on the S&P 500.

Delta Air Lines ( DAL ) shares fell 7.3%, among the worst performers on the S&P 500. The carrier on Monday trimmed its first-quarter financial outlook.

Southwest Airlines ( LUV ) shares rose 8.3% Tuesday, the second-best performer on the S&P 500. The company lowered its first-quarter outlook for a key revenue metric and announced a policy change to begin charging certain customers for checked bags.

GE Vernova's ( GEV ) power conversion and storage business signed a memorandum of understanding with PyroGenesis to initiate discussions toward a multiyear collaboration, PyroGenesis said. GE Vernova ( GEV ) shares advanced 5.2%, among the top S&P 500 gainers.

Gold rose 0.8% to $2,923.1 per troy ounce, while silver gained 2.6% to $33.37 per ounce.