With a late rally that wiped out most of the day's losses, the Dow Jones industrial average avoided a close below 10,000 points on Tuesday.

The DJIA was down 200 points in midday trading, but closed with a loss of 22.82 points, 0.23 percent, to 10,043.75.

The Wall Street Journal has reported that House Financial Committee Chairman Barney Frank said it was unlikely an amendment forcing banks to spin off their derivative trading operations would survive the final version of the financial regulatory reform bill.

The remark gave financial firms a late boost. Dow component Bank of American closed up 0.32 percent. JPMorgan & Chase shares rose 0.83 percent.

To gain 0.04 percent, 0.38, to 1,074.03, The Standard & Poor's 500 index pulled away from early losses. The Nasdaq composite index lost 0.12 percent, 2.60 points, to 2,210.95.

1,118 stocks advanced and 1,964 declined on a volume of 7.3 billion shares traded, on the New York Stock Exchange.

The benchmark 10-year U. S. Treasury note rose 9/32 to yield 3.167 percent.

From Monday's $1.238, the euro fell to $1.2341. The dollar, against the yen, fell to 90.20 yen from Monday's 90.39 yen. (With Inputs from Agencies)