Stocks trimmed losses on Tuesday after the Federal Reserve said it would begin channeling proceeds from its maturing mortgage bonds into longer-term government debt in an effort to support a flagging economic recovery.
The Dow Jones industrial average <.DJI> shed 39.51 points, or 0.37 percent, to 10,659.24. The Standard & Poor's 500 Index <.SPX> dipped 5.87 points, or 0.52 percent, to 1,121.92. The Nasdaq Composite Index <.IXIC> lost 29.79 points, or 1.29 percent, to 2,275.90.
(Editing by Kenneth Barry)