The Dow Jones Industrial Average slipped 11 points, or 0.1%, to 12954 in morning trading. The Standard & Poor's 500-stock index shed two points, or 0.1%, to 1360 and the Nasdaq Composite eased three points, or 0.1%, to 2946.
Gains among energy and utilities stocks were balanced by declines among financial and telecommunications stocks. Hewlett-Packard fell the most among Dow components, dropping 1.4% ahead of its fourth-quarter earnings report, due after the closing bell.
H-P was dragged lower after rival computer maker Dell disappointed Wall Street's earnings expectations, and provided a first-quarter sales outlook that was below current projections. Dell skidded 5.5%.
The Dow is pulling back slightly after peeking briefly above 13000 in intraday action Tuesday. The Dow finished that session with a modest gain of 16 points and hasn't closed above 13000 since May 2008.
Also hurting sentiment was a reading on business activity in the euro zone, which unexpectedly contracted in February. Markit Economics' purchasing managers' index fell to 49.7 from January's 50.4, below expectations of a rise to 50.8. Readings below 50 imply contraction. Meanwhile, preliminary readings showed that business activity in France and Germany continued to expand in February, albeit at a slower pace than in January.
Separately, some uncertainty remained over how Greece's second bailout deal, secured early Tuesday, would be implemented and how effective it would be. European markets traded broadly lower. The Stoxx Europe 600 shed 0.8%.
"Don't forget that there's a general election in Greece in April, and a new administration that may not agree to these terms, which means there might have to be a third bailout or Greece might still exit the euro zone," said Mark Martiak, senior vice president at Manhattan-based Premier Financial Advisors, pointing to Tuesday's midday pullback. "You saw investors start to sell off at midday, so maybe they weren't so sure. We still have Portugal and Italy about to face austerity, so I don't think we're out of the woods by any means."
Gold futures slipped to about $1,750 an ounce, while crude-oil futures were roughly flat around $106 a barrel. The U.S. dollar rose to a multi-month high against the yen and edged higher against the euro.
In U.S. economic news, January sales of existing homes topped expectations with a 4.3% monthly gain, but December's number was revised sharply lower, dampening some of the positive sentiment.
In corporate news, Johnson & Johnson edged up 0.3% after picking company veteran Alex Gorsky as its next chief executive, replacing William Weldon, who has been the health-products giant's leader since 2002.
Garmin rallied 10% after the satellite-navigation company reported fourth-quarter earnings and revenue that were well above expectations, and provided an upbeat 2012 outlook.
Toll Brothers slipped 3.9% after the home builder reported a fiscal first-quarter loss, against analyst expectations of a slight profit, and revenue that fell shy of forecasts.
Hackett Group surged 22% after the business-advisory company's fourth-quarter results beat estimates.
Dollar Tree fell 2.7% after providing a current-quarter forecast that fell a touch below Wall Street analysts' expectations.
MGM Resorts International fell 1.1% after posting a narrower fourth-quarter loss amid stronger-than-expected revenue.
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