04:59 PM EDT, 05/20/2025 (MT Newswires) -- Wall Street's benchmark equity indexes fell Tuesday, with the S&P 500 ending a six-day rally that came on the back of a de-escalation in the US-China trade war.

The S&P 500 and the Nasdaq Composite shed 0.4% each to 5,940.5 and 19,142.7. The Dow Jones Industrial Average slipped 0.3% to 42,677.2. Most sectors ended Tuesday's session in the red, led by energy.

Washington and Beijing recently agreed to suspend most reciprocal duties on each other's goods for 90 days. The two sides had been in a trade war since President Donald Trump's announcement of sweeping new tariffs early last month.

St. Louis Fed President Alberto Musalem said Tuesday that tariffs are expected to "dampen" economic activity and result in "some further softening" of the labor market.

"Tariffs are also likely to have direct one-off effects on the prices of imported final goods, indirect effects on the prices of domestically produced goods and services, and possibly second-round effects on inflation," Musalem said in prepared remarks for an event in Minneapolis. "I believe that monetary policy is well positioned to navigate material changes in the economic outlook as they become apparent, and to deliver stable prices and maximum employment."

On Monday, Atlanta Fed President Raphael Bostic said he prefers only one rate cut in 2025 for now, CNBC reported. Bostic reportedly said that tariffs have been larger than the Fed anticipated at the start of the year.

US Treasury yields were mixed, with the two-year rate little changed at 3.98%, while the 10-year rate advanced 3.3 basis points to 4.49%.

In company news, Airbnb ( ABNB ) shares fell 3.3%, among the worst performers on the S&P 500. The Spanish government has ordered the vacation rental company to block more than 65,000 listings for allegedly violating rules set for vacation or temporary housing rentals, the Ministry of Social Rights and Consumption said Monday.

An Airbnb ( ABNB ) spokesperson told MT Newswires that the company will challenge the order.

Dollar Tree ( DLTR ) shares rose 4.6%, the second biggest gain on the S&P 500, as Deutsche Bank raised its price target on the stock to $90 from $82.

Pfizer ( PFE ) shares rose 2.3%. The US pharmaceutical giant said late Monday it secured exclusive global rights, excluding China, to biopharmaceutical firm 3SBio's cancer treatment candidate in a licensing deal worth up to $6.05 billion.

Amer Sports ( AS ) surged 19% as the company raised its full-year outlook, saying it is well-positioned to mitigate the impact of tariffs.

Levi Strauss (LEVI) gained 1.5% after the company struck a deal to sell the Dockers apparel line to Authentic Brands Group as the denim jeans maker looks to focus on its main label and the Beyond Yoga workout clothing business.

West Texas Intermediate crude oil was down 0.1% at $62.62 a barrel. "Oil inched lower as market assessed US-Iran talks," D.A. Davidson said in a client note.

Gold was up 2% at $3,296.90 per troy ounce, while silver jumped 2.4% to $33.29 per ounce.