Investors are hopeful the Federal Reserve will cut interest rates next month in light of weakening economic data WIN MCNAMEE

Wall Street stocks fell Tuesday as a rally ran out of steam following lackluster economic data, while investors monitor ongoing trade talks ahead of new tariff hikes set to take effect later this week.

US President Donald Trump told CNBC he plans fresh tariffs on imported pharmaceuticals and semiconductors. Trump also said he expects to raise the US tariff on Indian imports due to the country's purchases of Russian oil.

The statements come before a separate set of tariff hikes goes into force on dozens of economies later this week. Swiss officials traveled to Washington Tuesday to try to strike a last-minute deal.

Investors also digested an index of US services

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