The S&P 500 and the Dow snapped a six-day winning streak on Monday as investors weighed prospects for tax cuts while parsing the latest corporate earnings for clues on where stocks are headed in the near term.

How did stock indexes fare?

The S&P 500 index SPX, -1.15% dropped 10.23 points, or 0.4%, to close at 2,564.98. The Dow Jones Industrial Average DJIA, -1.84% shed 54.67 points, or 0.2%, to 23,273.96.

Read:The S&P 500 just made stock market history—for doing almost nothing

The Nasdaq Composite Index COMP, -0.13% fell 42.23 points, or 0.6%, to 6,586.83.

The latest decline comes after major indexes scored all-time closing highs on Friday, marking the 24th time in 2017 that all three benchmarks simultaneously closed at records. All three indexes also sat all-time intraday highs in early trade Monday before losing ground.

What drove the market?

A flurry of earnings reports drove individual stocks on Monday. Quarterly results are a key driver for stocks with nearly 200 S&P 500 companies slated to report earnings this week.

Expectations for a major tax overhaul have been credited with helping spur a rally in U.S. stocks in the wake of Trump’s presidential election win in November.

See:Here’s why one chart watcher says the stock market is finally ready for a pullback

Last week The Wall Street Journal reported that there are proposals about capping the amount that Americans may contribute before taxes to 401(k) plans as a way to generate revenue. However, President Trump tweeted this morning, saying that there will be no changes to 401(k) rules, which he called “a great and popular middle class tax break that works.”

Read:What’s next for a tax overhaul after the Senate passed its budget

What were strategists saying?.

“It feels like the market is resting after making all-time highs across the board. People are still focused on earnings and are definitely banking on tax cuts,” said Ian Winer, head of the equities division at Wedbush Securities. “But with each day we keep seeing that things that are proposed to offset the cuts are killed and today it was 401(k) plans.”

“Earnings remain a solid tailwind for equity prices,” said Robert Doll, chief equity strategist at Nuveen Asset Management LLC, in a note. “Just over 20% of S&P 500 companies have announced third-quarter results. Earnings are beating expectations by 4.5% and revenues by 1.0%. This compares to the long-term historical average of 4.7% and 0.3%, respectively. Earnings per share are on track to rise 8% for the quarter.”

See:Stocks are incredibly overbought—why that’s not as scary as it sounds

Which stocks were in focus?

Shares of disk-drive maker Seagate Technology PLC STX, -1.22% surged 13% after the company handily beat earnings estimates for its fiscal first quarter.

Tesla Inc. TSLA, +1.63% shares reversed early gains to slump 2.3% in the wake of news that the electric car company will set up a factory in China.

Halliburton Co. HAL, -8.51% shares fell 2.5% even as earnings beat forecasts.

Deltic Timber Corp. US:DEL rallied 4.1% after the timberland holding company agreed to merge with Potlatch Corp. PCH, -3.67% , creating a company with a total enterprise value of $4 billion.

Hasbro Inc. HAS, -4.80% plunged 8.6% after providing a downbeat sales outlook. Rival Mattel Inc. MAT, -0.51% , which is scheduled to report results on Thursday, also fell, trading 3.2% lower.

Cisco Systems Inc. shares CSCO, -1.93% were 0.3% higher after a Bloomberg News report that the company is nearing a deal to buy telecommunications-focused software company BroadSoft Inc. US:BSFT.

Shares of VF Corp. VFC, -4.76% jumped 5.4% after the company raised its guidance.

How did other assets perform?

The Nikkei 225 index NIK, +0.17% rallied after Prime Minister Shinzo Abe’s coalition easily won a majority in Japan’s snap parliamentary election on Sunday. Abe’s win raises the prospect for continued accommodative monetary policy, which tends to weaken the Japanese yen and boost stocks in the country.

Read:Japan’s Nikkei rises for a 15th straight session after Abe’s election win

Other Asian markets closed mixed, while European stocks SXXP, +0.34% finished mostly higher.

The dollar rose. The ICE Dollar Index DXY, +0.04% climbed 0.2% while gold reversed an earlier decline to eke out a gain as stocks lost steam.

Oil prices US:CLZ7 saw a mixed finish after the Organization of the Petroleum Exporting Countries said over the weekend that production cuts exceeded agreed levels by 20%. The cartel also said “all options are left” for rebalancing the market, seen as reinforcing the view that the output pact will be extended when OPEC meets in November.

What data were traders watching?

The Chicago Fed national activity index for September improved to 0.17 in September from negative 0.37 in August.

—Sara Sjolin contributed to this report.