The Dow Jones industrial average fell 0.37 to 5888.83, recovering from a 40-point slide that some investors used as a buying opportunity. The Dow had surged 117 points higher in the previous two sessions, reaching new heights for the first time since spring.
Broader measures were mostly negative, with rising interest rates in the bond market providing an excuse to secure some profits.
Decliners issues outnumbered advancers by nearly a 3-to-2 margin on the New York Stock Exchange, with 990 up, 1,459 down and 792 unchanged. NYSE volume was 442.58 million shares, vs. 430.08 million yesterday.
The NYSE's composite index fell 0.99 to 364.43; the Standard & Poor's 500-stock index fell 1.03 to 682.95; and the American Stock Exchange index fell 3.78 to 567.16.
The technology-heavy Nasdaq composite index rose 9.35 to 1,203.31, notching its first close above 1,200 since mid-June, as Intel shares rallied on word the world's largest chipmaker expects to exceed third-quarter forecasts.
Bonds fell in the morning after a news report that a majority of Federal Reserve officials favor an increase in the central bank's lending rates to slow the economy and keep inflation under control.
The yield on the 30-year Treasury bond - a key determinant of borrowing costs - jumped back over 7 percent.