Stocks ended flat to better Tuesday with megacaps outperforming late after Monday's rally stalled and weak US consumer confidence figures weighed on sentiment. The Dow Jones industrial average was flat, the S&P 500 rose by 0.2 percent, and the Nasdaq was up 0.5 percent. US bond yields declined, oil prices firmed, while the dollar was mixed versus major currencies.

Monday's hopefulness about less aggressive US tariff policy gave way to worry but selling was limited and late buying in Tesla and other megacaps gave the major indexes a lift. Among sectors, best were communications services, consumer discretionary, financials and materials. Lagging were consumer staples, real estate and utilities.

News that consumer confidence dropped even more than expected in March while inflation expectations rose again renewed concern about slowing consumption and the prospect of recession. Bond yields fell on the news, which helped growth stocks outperform.

Market Reflections track market reaction to the trading day's major events. Economic data, policymaker speeches, and company news are featured in this report as well as key indexes and financial instruments.

Understanding why markets respond as they do is fundamental for an investor. Market Reflections help explain how the day's events, news, and data impact the outlook for the economy and for market prices.