Stocks Falter on Quarter's Last Day

Updated with AIG annual meeting, and closing stock and commodity price changes.

Oil futures fell, and the major stock indices in New York shed up to 1% Tuesday. The end of the second quarter is here, with an unexpected drop in consumer confidence.

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The Dow Jones Industrial Average closed down 82.38 points, or 1%, at 8447, while the S&P 500 fell 7.94 points, or 0.9%, to 919.32. The Nasdaq Composite gave up 9.02 points, or 0.5%, to 1835.04.

But for the quarter, the Dow and S&P gained 11% and 15%, respectively, while the Nasdaq added 20%.

Financials and energy stocks were giving back gains from a day prior, with the KBW Bank Index and the Philadelphia Oil Service Sector Index falling 1.5% apiece. But losses were broad-based across sectors.

Caterpillar(CAT Quote) was the worst performer on the Dow, losing 4.9%. American Express(AXP Quote), Procter & Gamble(PG Quote) and Verizon(VZN Quote) all closed more than 2% lower as well.

One stock bucking the trend, Ford(F Quote), was better by 5% after the automaker said a decline in sales was slowing, and it boosted its third-quarter production rate.

Stocks opened tentatively to the upside but reversed course after the Conference Board said its consumer confidence index fell unexpectedly to 49.3 in June, from 54.8 in May and vs. expectations for 55.3.

"People are still very worried about whether or not jobs will come out of this recovery because there's so much slack in the economy at the moment," says Marc Pado, U.S. market strategist for Cantor Fitzgerald. "People aren't working as much and manufacturing facilities are sitting idle, so there's a lot of room for expansion without hiring anybody -- this may be a jobless recovery for a while, and that's what's got people a bit negative."