The major indexes ended the day mixed, with the Dow Jones industrials falling 74 points - only the third time in October that the blue chips had just a double-digit shift from close to close.

Analysts were divided over why the market turned around so abruptly. Some cited reports of a lackluster profit forecast at General Electric Co. - a Dow component that dropped nearly 4 percent from its late-session high - and others contended that investors were simply looking to cash in gains after the Federal Reserve's decision to lower its fed funds rate half a percentage point, to 1 percent.

"It was a panic sell in the last two minutes," said Dave Rovelli, managing director of U.S. equity trading at Canaccord Adams Inc., of New York, referring to reports that GE was aiming at 2009 profit to be little changed from 2008. The reports were subsequently called into question, and a GE spokesman said the statements were taken out of context.

The Dow closed down 74.16, or 0.82 percent, at 8,990.96. Broader stock indicators were mixed. The S&P 500 index fell 10.42, or 1.11 percent, to 930.09, and the Nasdaq composite index advanced 7.74 points, or 0.47 percent, to 1,657.21.

While signs have emerged that the government action to revive credit markets is starting to work, investors remain skittish over the effects of the prolonged credit freeze on the economy, which relies on lending to feed growth.

Investors are hoping the latest rate cut will complement the government's still-unfolding efforts to aid the commercial-paper market, where companies turn for short-term loans, and the banks themselves. The Treasury this week is investing directly in banks, hoping the cash will make them more likely to issue loans.

Light, sweet crude for December delivery rose $4.77 to close at $67.50 a barrel on the New York Mercantile Exchange.

In corporate news, shares of Aetna Inc., an insurer with operations in Blue Bell, Pa., fell $2.25, or 8.09 percent, to $25.55, after the company reported that investment losses chopped its third-quarter profit 44 percent. It also said shaky financial markets would create uncertainty for next year as well. But analysts and company leaders say Aetna's business and investment portfolio of more than $18 billion remain sound.

Shares of Procter & Gamble Co. were down $1.90 at $61.33. The maker of household products posted better-than-expected quarterly earnings, but it warned it could face slower sales.

MGM Mirage closed up $3.42, or 33.11 percent, at $13.75. The casino operator's profit fell 67 percent, but analysts said investors feared results would be worse.

Wall Street's rally Tuesday helped lift trading in most markets overseas. Japan's Nikkei stock average jumped 7.74 percent. Britain's FTSE 100 rose 8.05 percent, Germany's DAX index slipped 0.31 percent, and France's CAC-40 rose 9.23 percent.