Stocks give up gains, end mixed

(CNNMoney.com) -- Stocks ended mixed Tuesday, giving back earlier gains, as investor optimism over the extension of Bush-era tax cuts gave way to speculation about a widening federal probe into insider trading and a spike in Treasury yields.

The Dow Jones industrial average (INDU) fell 3 points, or less than 0.1%, to close at 11,359. The S&P 500 (SPX) ended little changed at 1,224, after climbing to a 2-year high during active trading. The tech-heavy Nasdaq (COMP) rose 3 points, or 0.1%, to 2,598.

Stocks held gains for most of the day as investors welcomed news that Obama had reached a deal with Republican lawmakers Monday that would extend Bush-era tax cuts for two years and unemployment benefits for 13 months. It would also lower the payroll tax by two percentage points for a year.

But the momentum faded late in the day after Obama, who had wanted the cuts for high-earning taxpayers to expire, said in a press conference that he would push to have them eliminated after the two-year extension is over. (more)