U.S. stocks ended lower on Tuesday as tech shares dropped sharply, weighing on the market.

The Dow Jones Industrial Average dropped 132.36 points, or 0.54 percent, to 24,174.82. The S&P 500 was down 13.49 points, or 0.49 percent, to 2,713.22. The Nasdaq Composite Index declined 65.01 points, or 0.86 percent, to 7,502.67.

Markets closed three hours earlier than usual due to the Fourth of July holiday on Wednesday. The Dow's losses were mainly led by declining of Apple and Caterpillar. Shares of both companies fell more than 1.5 percent.

Tech sector fell 1.37 percent, dragging the S&P 500. The Nasdaq also retreated with Micron Technology and Facebook among the worst performers. Shares of Micron Technology and Facebook decreased 5.51 percent and 2.35 percent, respectively, at market closing.

Trading mood was downbeat since uncertainty over tariffs plan was hanging over markets, experts noted.

On the economic front, new orders for manufactured goods in May increased 1.8 billion U.S. dollars or 0.4 percent to 498.2 billion dollars amid strong demand for machinery, the U.S. Commerce Department reported on Tuesday. The reading followed a 0.4 percent decrease in April and beat the market forecasts.