U.S. stock markets closed lower on Tuesday with the S&P 500 and Nasdaq Composite slipping from record intraday highs as the U.S. Treasury Yields moved higher during the afternoon. The sentiment of market participants was dampened following a higher-than-expected increase in the Consumer Price Index for June. All the three major stock indexes closed the day in red.How Did The Benchmarks Perform?The Dow Jones Industrial Average (DJI) dipped 0.3% or 107.39 points, closing at 34,888.79, snapping its gains from the previous two sessions. Notably, 18 components of the 30-stock index ended in red while 12 finished the day in green. One of the major losers of the Dow was Caterpillar Inc. CAT that lost 1.6%. Caterpillar carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.The tech-heavy Nasdaq Composite closed the day at 14,677.65, down 0.4%, reversing its gains from the last two sessions, on the back of weak performance by large-cap technology stocks. The S&P 500 fell 0.4%, closing the day at 4,369.21, terminating its two-session winning streak. The Real Estate Select Sector SPDR (XLRE) and the Consumer Discretionary Select Sector SPDR (XLY) lost 1.3% and 1.2%, respectively. Ten out of eleven sectors of the benchmark index closed in the negative zone and one in green.The fear-gauge CBOE Volatility Index (VIX) was up 5.9% to 17.12. A total of 9.5 billion shares were traded on Tuesday, lower than the last 20-session average of 10.5 billion. Decliners outnumbered advancers on the NYSE by a 2.85-to-1 ratio. On Nasdaq, a 3.06-to-1 ratio favored declining issues.Wall Street Ended Lower as U.S. Treasury Yields Climbed HigherBoth the S&P 500 and the Nasdaq Composite fell from fresh intraday highs on Tuesday as U.S. Treasury Yields rose during the afternoon. The yield on the benchmark U.S. 10-Year Treasury Note rose 4.6 basis points to 1.412% while the yield on the U.S. 30-Year Treasury Note moved 4.5 basis points higher to 2.038%.Investors will keep an eye on the U.S. Federal Reserve Chair Jerome Powell’s testimony before the Congress on Wednesday and Thursday this week, for any updates with regard to the monetary policy. Powell has repeatedly reiterated that inflation is transitory and the minutes released last week from the Fed’s latest FOMC Policy Meet also showed that the Fed is looking to pursue an accommodative stance of monetary policy.Economic DataThe sentiment of market participants took a hit in Tuesday’s session while U.S. Treasury Yields also moved higher in the afternoon as the U.S. Bureau of Labor Statistics reported that the Consumer Price Index (CPI) rose 0.9% in June, surpassing the consensus estimate of a rise of 0.5%, and also higher than the May reading of 0.6%. The report further stated that this marked the highest one-month change since June 2008 when the index had risen 1%.The core CPI, which excludes food and energy, also rose 0.9% in June, surpassing the consensus estimate of a rise of 0.4%, and also compared to a rise of 0.7% in May. The report further stated that the indexes which continued to increase included used cars and trucks, new vehicles, apparel and airline fares while medical care, household furnishings and operations were among the few major component indexes that witnessed a decline in June.Stocks That Have Made HeadlinesAmerican Airlines Shares Pop on Improved Q2 GuidanceAmerican Airlines Group AAL provided a bullish investor update for the second quarter of 2021, following which shares of the company rose 1.5% in after-market trading on Jul 13. (Read More) Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. It’s bipartisan, urgent, and inevitable. Trillions will be spent. Fortunes will be made. The only question is “Will you get into the right stocks early when their growth potential is greatest?” Zacks has released a Special Report to help you do just that, and today it’s free. Discover 7 special companies that look to gain the most from construction and repair to roads, bridges, and buildings, plus cargo hauling and energy transformation on an almost unimaginable scale.Download FREE: How to Profit from Trillions on Spending for Infrastructure >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Caterpillar Inc. (CAT): Free Stock Analysis Report American Airlines Group Inc. (AAL): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research