The Dow Jones index dipped 0.4%, more than 200 points at one point, and remained below its 21-day exponential moving average after bumping up to it Monday. The S&P 500 shed nearly 0.2%, while the Nasdaq also faded 0.2%. The S&P 500 and Nasdaq are testing resistance at their 50-day moving averages.

The small-cap Russell 2000 fared worse than the major indexes and shaved off nearly 0.7% in the stock market today. Volume fell on the Nasdaq and rose on the New York Stock Exchange vs. the same time in Monday's session.

Among exchange traded funds, Invesco QQQ Trust (QQQ) edged lower 0.2%. The Innovator IBD 50 ETF (FFTY) fell 0.6% in the stock market today.

West Texas intermediate crude oil fell 1.7% to $81.20 a barrel, causing the energy sector to fall 1.1%.

The benchmark 10-year Treasury yield inched higher to 4.65% after the employment cost index rose 1.2% in the first quarter, to the fastest pace in a year and a half.

This follows the Treasury Department's announcement on Monday afternoon it will need to borrow $41 billion more in the current quarter than initially expected.

In addition, the Federal Reserve begins a closely watched two-day meeting on Fed chief Jerome Powell will comment Wednesday afternoon. Investors will be listening for any signals on when rate cuts may begin.