The Dow ended down three quarters of a percent. The S&P 500 finished more than half a percent lower, while the Nasdaq lost only about a quarter of a percent.

The S&P is down about 18% from its record high on Jan. 3 and a close below 20% for the benchmark index would confirm bear market territory, joining the tech-heavy Nasdaq.

Doug Sandler is head of global strategy at Riverfront Investment Group.

"The market is still trying to find a bottom. You know, our view would be a lot of the damage has already been done. They were down from 4800 on the S&P (500 index) to about 3800. So that's a pretty significant drop. And, you know, S&P now is pretty much in bear market territory. So there's fears of a recession. But when I look at the market action, I would tell you that a good portion of recession fears has already been priced in."

Kohl's became the latest retailer to flag a hit from four-decades high inflation as the department store chain cut its full-year profit forecast. Its shares, however, rebounded after slumping 11% in the previous session due to dismal results from Target.

Shares of Cisco slumped after the networking gear maker lowered its 2022 revenue growth outlook, taking a hit from its exit from Russia and component shortages related to health restrictions in China.

Shares of Apple and most megacaps had another bad day but Amazon and Netflix posted gains.

Shares of Twitter rose after Bloomberg reported that company executives told staff that Elon Musk's $44-billion deal was proceeding as expected and they would not renegotiate the price.

And shares of Canada Goose jumped 10% after it forecast upbeat annual earnings, encouraged by strong demand for its luxury parkas and jackets.