LIVE MARKETS-U.S. stocks toss and turn over Trump tax-cut bill, trade talk

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U.S. STOCKS TOSS AND TURN OVER TRUMP TAX-CUT BILL, TRADE TALK

In the wake of a choppy session on Tuesday, the main U.S. indexes finished mixed as the Senate's passage of U.S. President Donald Trump's tax package had investors weighing the bill's stimulative effects against its multi-trillion dollar cost.

The bill now heads back to the House for final approval.

Investors also reacted to late-session comments from President Trump on trade as he was not thinking of extending the July 9 deadline for countries to negotiate deals with the U.S., and continued to express doubt that an agreement could be reached with Japan.

The S&P 500 index .SPX edged red at the close, while the Dow .DJI advanced around 0.9%. (The DJI, which has yet to join the new highs party, ended down 1.15% from its December 4 record closing high).

The Nasdaq .IXIC lost around 0.8%, and snapped its six-day winning streak.

The NYSE composite .NYA, S&P 500 industrials .SPLRCI and S&P 500 financials .SPSY all ended at record closing highs.

Big banks .SPXBK also scored a record closing high.

Regional banks .KRX, transports .DJT, mid caps .IDX and small caps .RUT were among outperformers on the day.

That said, high profile tech giants were on the weak side. The NYSE FANG+ index .NYFANG fell about 1.8%.

With this, growth .IGX suffered its worst day vs value .IVX since late March.

Regarding the tax-cut and spending bill, Rick Meckler, partner at Cherry Lane Investments, in New Vernon, New Jersey, said:

"I think it's going to create some problems for the fixed income market as we continue to spend no matter which party is in power, and, ultimately, that's a negative for the stock market. But the reaction from investors in the short term is just that it's pro economic development, and they're not as worried about inflation, and they continue to buy stocks."

Meckler added "It seems like investors have been very accepting of that risk. Clearly we keep increasing the deficit and longer-term investors have to be concerned about that."

Here is a snapshot of where markets stood just shortly after 4:00 p.m. EDT:

(Terence Gabriel, Caroline Valetkevitch)

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