Equities entered the session trading in record territory, with the Nasdaq and S&P notching record closes on Tuesday. This despite lingering uncertainty around the Trump administration's ability to move forward with its fiscal agenda.
On Tuesday, three GOP senators said they would oppose a push to repeal Obamacare without a replacement, seemingly stalling other legislative plans. The Trump administration has said they wanted to repeal and replace Obamacare before moving to other items like tax reform.
"The political situation is keeping some investors worried, but that's the healthy skepticism needed for the market to keep going higher," said Maris Ogg, president at Tower Bridge Advisors. "But we're getting to a point from a multiples perspective that it's getting harder and harder" to find value.
However, Boston Private's Saccocia these health-care headlines "are coming at a great time. We're getting a lot of earnings news on the wire and that's offsetting some of the health-care news."
Elsewhere on the politics front, House Speaker Paul Ryan said the House would start drafting legislation to overhaul the nation's tax code after the summer recess.
In economic news, housing starts jumped 8.3 percent last month, hitting their highest level since February. Mortgage applications, meanwhile, rose 6.3 percent.
U.S. Treasury yields rose, with the benchmark 10-year note yield near 2.27 percent and the two-year yield around 1.36 percent. That said, yields are well below their highs of the year.
"You're now seeing a disconnect between the stock market and the bond market," said Mark Spellman, portfolio manager at Alpine Funds. "The bond market is starting to tell you the economy may be slowing but the stock market doesn't care."
—Reuters contributed to this report.