The S&P 500 fell 0.58 percent to 2,619.37 and the Nasdaq Composite dropped 0.61 percent to 6,964.33.
Twitter reversed course to trade down 4.9 percent after reporting its second profitable quarter and topping Wall Street estimates for revenue and monthly active users.
Investors have also been selling Treasurys this month in fear of rising inflation, pushing the yield on the 10-year U.S. Treasury note above 3 percent for the first time in four years on Tuesday morning.
Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., April 18, 2018.
Investors are anxious rising borrowing costs because it may slow the economy and hurt companies' ability to buy back their own stocks even.
All the 11 major S&P sectors were lower, led by a 0.93 percent decline in the industrial sector as shares of 3M and United Tech fell. Rising borrowing costs and higher prices for commodities could take a chunk out of corporate earnings and redirect investments into bonds and other safe harbor assets.
FAA must act after jet engine explosion
Officials reported that the plane made an emergency landing in Philadelphia following the accident. It is unclear how many of those delays were due to engine inspections.
The Dow Jones industrial average shed as many as 620 points in mid-morning amid fears of steeper borrowing costs in America, which could force up the cost of mortgages, auto loans and other debt in Britain.
The CBOE Volatility index .VIX , a gauge of short-term stock market volatility jumped to more than 1-week high to 18.61 points.
The Dow is down 438.81 points, or 1.8 percent. In addition, higher yields can make bonds appear more attractive than stocks, which come with higher risk.
Alphabet reported a solid quarterly profit on Monday, after the closing bell. The stock market had already been spooked by a climb in bond yields earlier in the year, sliding sharply in February.
Market favorites including Alphabet and Amazon dropped Tuesday, and heavy equipment maker Caterpillar sank 6.2 percent after warning of weaker profits.
Diversified industrial manufacturer 3M was the biggest drag on the Dow Jones Industrial Average.
Browns draft: top options for the No. 33 pick
It's been forever since they had a future franchise quarterback and now they are in a position to address it once and for all. Petty was a fourth-rounder in 2015, while Hackenberg went in the second round in 2016. "He is a good football player".
Investors on Tuesday dealt with two conflicting messages.
Caterpillar Chief Financial Officer Brad Halverson said during a call with investors that first quarter earnings "will be the high watermark for the year".
So far, 24 per cent of S&P 500 companies have reported first-quarter results, with 77.1 per cent coming in above the Street consensus, versus the 64 per cent average since 1994.
Oil topped $75 a barrel before plunging more than 2.5%.
Facebook which is set to report after market on Wednesday, was down 0.14 percent.
Volume on US exchanges was 7.22 billion shares, compared to the 6.80 billion average for the full session over the last 20 trading days.
Apple Releases Minor iOS 11.3.1 Update for iPhone and iPad
In addition, Apple has also released a new security update to macOS 10.13.4 that was rolled out last month. Interestingly, Apple's patch notes specify that the release "improves the security" of iOS devices.