US stocks pull back from record highs as Wall Street’s rally cools

US stocks pull back from record highs as Wall Street’s rally cools

US stocks slipped on Tuesday as investors weighed recovery optimism against the market's climb to new highs.

The S&P 500 is poised to snap a six-day streak of gains that placed stocks at all-time highs on Monday. Bullish sentiments have been boosted by the Biden administration's plans to push a large-scale stimulus package through Congress. Though President Joe Biden indicated throughout his campaign that he aims to work in a bipartisan fashion, his administration has warmed up to passing fiscal relief through reconciliation and without Republican support.

Hopes for fresh stimulus and the encouraging pace of COVID-19 vaccinations now square off with elevated valuations. Stocks have already charged to multiple record highs in February, placing more pressure on market participants to secure profits. Expectations for stronger inflation could also weigh on the growth stocks that lifted the market throughout 2020.

Here's where US indexes stood shortly after the 9:30 a.m. ET open on Tuesday:

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Data tracking the US's recovery from the pandemic has also dragged on some optimism. Daily case counts have fallen to their