U.S. stocks retreat with global shares

U.S. stocks drifted lower Tuesday following the decline of equities across the board around the world, as benchmark indices lost some momentum after the recent record rally in the past two consecutive weeks.

The Dow Jones Industrial Average fell 55.16 points, or 0.31 percent, to 17,983.07. The S&P 500 decreased 10.22 points, or 0.49 percent, to 2,080.35. The Nasdaq Composite Index dipped 29.47 points, or 0.61 percent, to 4,777.44.

All the ten sectors of the S&P 500 declined, with the utilities sector leading the laggards, followed by the technology and the energy sectors.

Fresh anxiety over the turmoil in oil markets and political uncertainty in Greece dragged most Asian stocks lower Tuesday, with Japan's benchmark Nikkei index going down 1.57 percent to 17, 450.77 points.

European shares also witnessed broad drops Tuesday as political uncertainty in Greece weighed on investor sentiment.

On the economic front, U.S. home prices posted a slower growth in October, according to S&P/ Case-Shiller Home Price Indices released Tuesday.

The 10-City Composite gained 4.4 percent year on year, down from 4.7 percent in September, while the 20-City Composite rose 4. 5 percent year on year, compared to 4.8 percent in September.

The Conference Board Consumer Confidence Index registered 92.6 in December, up from the upwardly-revised 91.0 last month, narrowly missing market expectations of 93.0, said the New York- based research group the Conference Board in a report Tuesday.

Trading volume remained light in U.S. stock markets, as investors were reluctant to place big bets on equities near the end of the year. U.S. stock markets will be closed Thursday for the New Year's Day holiday.

On Monday, the broader S&P 500 hit another all-time intraday high before finishing at its 53rd record close of this year. The Dow Jones Industrial Average, however, snapped a seven-session gaining streak.

U.S. equities have had a solid rally recently, buoyed by strong economic data and the U.S. Federal Reserve's commitment to be " patient" about hiking interest rates.

The CBOE Volatility Index, a gauge of fear in the market, rose 5.71 percent Tuesday to end at 15.92.

In other markets, the U.S. dollar inched down against most major currencies as investors took profits from recent rally in the greenback before the end of the year.

In late New York trading, the euro was flat at 1.2154 dollars. The dollar bought 119.55 Japanese yen, lower than 120.72 yen of the previous session.

Oil prices gained as traders started to buy in following a sharp decline in the previous session.

Light, sweet crude for February delivery gained 0.51 dollars to settle at 54.12 dollars a barrel on the New York Mercantile Exchange, while Brent crude for February delivery edged up 0.02 dollars to close at 57.9 dollars a barrel.

Gold futures on the COMEX division of the New York Mercantile Exchange rose Tuesday as global stocks weakened in the wake of geopolitical tensions and the U.S. dollar dipped due to some profit-taking.

The most active gold contract for February delivery gained 18.5 dollars, or 1.57 percent, to settle at 1,200.40 dollars per ounce.