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Price hikes, waning consumer confidence and profit warnings took the steam out of U.S. markets Tuesday. At the close the Dow lost 34 points, the S&P 500 gave up 3, and the Nasdaq shed 17. United Parcel Service slashed its earnings outlook -- citing rising fuel prices. UPS says 2nd quarter earnings will suffer, pinning the blame on a weak US economy along with those high gas prices. Shares of UPS sank 6 percent. In the wake of soaring energy costs -- Dow Chemical is hiking its prices by as much as 25 percent. The increase follows on the heels of a 20 percent hike made just last month. Dow is also tacking on fuel surcharges, and cutting output of some products. The price increases didn't do much for shares of Dow. It closed down 2.7 percent. On the gains side, beaten down financials were snapped up by investors. At the close of trading, Bank of America gained 2.8 percent, and Wells Fargo was a stand-out, adding nearly 4 percent. In economic news, consumer confidence dropped to the lowest level in 16 years, that according to the Conference Board. Add to that - in the survey of consumer attitudes, inflation expectations remain at a record high. Over to the NYMEX now, it was a see-saw day there. Oil traders balanced out geopolitical concerns with a holding pattern -- as they wait for inventory data and the Fed's decision on interest rates. Crude oil ended the day modestly higher at 137 bucks a barrel. The Fed is at the start of a two-day meeting where many expect the FOMC to hold interest rates steady. European markets ended the day on a down note thanks to renewed concern about the US economy. At the close the DAX lost 53 points, the CAC was down by 37, and London's FTSE gave up 32. Diane King, Reuters, New York. COMPANIES MENTIONED: United Parcel Service, Dow Chemical, Bank of America, Wells Fargo, SYMBOLS: UPS, DOW, BAC, WFC