The United States (US) stock market fell on Tuesday as investors were seen preparing for the start of a new trading month, which has been a challenging period for equities.
The three major averages ended August with moderate gains, with the S&P 500 leading the way after rising 2.28%.
The Dow and Nasdaq Composite also rose 1.76% and 0.65%, respectively, last month.
The increase followed sharp selling activity in early August driven by US recession concerns and yen carry-trade factors.
However, sentiment stabilized as more positive data on the US economy and strong expectations that the Federal Reserve will begin cutting interest rates this month boosted mood.
Markets now await this week's key monthly jobs report as the Fed turns its attention to rising labor market risks.
Earnings season also continues, with Broadcom, C3 AI, Zscaler, DocuSign and UiPath, among others, set to report this week.
