The S&P 500 index traded down 1.0% to 4,475.14 and the Nasdaq Composite futures fell 1.3% to 13,811.55. 

The yield on 2-year Treasury notes decreased to 4.74%, 10-year Treasury notes inched lower to 3.99% and 30-year Treasury bonds edged down to 4.17%. 

Banks led decliners in trading after the Moody's placed several banks on negative watch list. 

M&T Bancorp declined 3.2% to $137.19, Regions Financial fell 2.2% to $20.69, Citizens Financial Group decreased 3.2% to $30.39 and PNC Financial Services dropped 3.5% to $127.79. 

United Parcel Services, Inc declined 0.8% to $180.59 after the parcel delivery company reported weaker-than-expected revenue in the second quarter. 

The company also lowered its full-year outlook citing macroeconomic headwinds. 

Chegg Inc increased 6.3% to $10.66 after the online education and textbook provider reported  better-than-expected revenue in the second quarter. 

Datadog Inc plunged 18.3% to $86.65 after the cloud computing monitoring services provider forecasted weaker-than-expected sales in the third quarter and lowered its full-year outlook. 

DISH Network Corp jumped 8.6% to $8.30 after Charlie Ergan said he would consolidate his telecom companies. 

EchoStar Corp edged up 0.5% to $23.62. 

Two companies were separated in 2008 and Ergan plans to combine two satellite communication and technology companies as market for providing data is expected to heat in the next three years.  

International Flavors & Fragrances Inc plunged 19% to $65 after the company reported weaker-than-expected quarterly results. 

Revenue in the second quarter declined 11% to $2.9 billion from $3.3 billion and net income plunged 75% to $27 million from $109 million and diluted earnings per share dropped to 11 cents from 43 cents a year ago. 

The company revised lower its full-year revenue outlook to between $11.3 billion and $11.6 billion from the previous estimate of $12.3 billion. 

the fragrance company also lowered its adjusted earnings outlook to between $1.85 billion and $2.0 billion from the previous estimate of $2.34 billion. 

The company declared a regular dividend of 81 cents a share payable to shareholders on October 5 to shareholders on record September 22.