NEW YORK (AP) — U.S. stocks drifted through a mixed day of trading after oil prices eased and falling Big Tech stocks weighed on Wall Street. The S&P 500 slipped 0.4% Monday and pulled 1.8% below its all-time high set early this month. The Dow Jones Industrial Average added 0.3%, and the Nasdaq composite slumped 1.3%. Oil prices fell roughly 3% following negotiations between the United States and Iran on ending their war. But drops for giants like Alphabet and Amazon weighed on the market, which resumed trading following a three-day weekend. Rising Treasury yields in the bond market also pressured stock prices.
THIS IS A BREAKING NEWS UPDATE. AP’s earlier story follows below.
NEW YORK (AP) — U.S. stocks are drifting near their records in mixed trading Monday after trading resumed following for Wall Street.
The S&P 500 slipped 0.3%, coming off its in the last 12, and pulled 1.7% below its all-time high set early this month. The Dow Jones Industrial Average was up 161 points, or 0.3%, as of 2:38 p.m. Eastern time, and the Nasdaq composite was 1% lower.
In the oil market, prices eased following between the United States and Iran on their war. U.S. Vice President JD Vance said they created a “good foundation for a successful final deal.”
An end to the war could clear the Strait of Hormuz for oil tankers and allow for the undisputed resumption of deliveries from the Persian Gulf. Iran’s military had said Saturday that it closed the Strait of Hormuz again, though U.S. Central Command has disputed that.
The price for a barrel of Brent crude oil fell 3.5% to $77.71, closer to its roughly $70 price from before the war. Benchmark U.S. crude oil fell 2.6% to settle at $73.86 per barrel.
The lower oil prices, though, did not pull down Treasury yields in the bond market. Yields have been climbing because of speculation that the Federal Reserve may have to hike interest rates this year in order to keep a lid on inflation, which has been accelerating because of expensive oil caused by the Iran war. Economists expect a report on Thursday to show a measure of inflation for U.S. consumers sped up to 4.1% in May from 3.8% in April.
The yield on the 10-year Treasury climbed to 4.51% from 4.46% late Thursday and from just 3.97% before the war.
Traders are betting on a 90% chance the Fed will raise its federal funds rate at least once by the end of the year, with a small minority calling for four increases. That’s up from the 57% chance seen just a week ago, according to data from CME Group.
caused by worries about inflation are threatening to slow economies and have already sent rates higher for mortgages and other kinds of loans. High yields also hurt prices for investments, particularly those seen as the most expensive. That raises the pressure on companies that have soared in the mania around artificial-intelligence technology.
SpaceX fell 10.6% to drop toward $165. It’s heading toward a third straight loss following a big three-day run since , when it initially sold its stock at $135 per share.
Elsewhere on Wall Street, AbbVie climbed 6.7% after saying it agreed to buy Apogee Therapeutics and its potential treatments for patients with dermatologic, respiratory and other related inflammatory and immunological diseases. Apogee Therapeutics soared 46.7% following the announcement of the deal, valued at roughly $10.9 billion.
In stock markets abroad, the United Kingdom’s FTSE 100 rose 0.7% after said he was as leader of the governing Labour Party and will leave office within weeks.
In Asia, Tokyo’s Nikkei 225 jumped 1.5% and ended at another all-time high, led by AI stocks. South Korea’s Kospi gained 0.7% to its own record, helped by AI-related companies.
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AP Business Writers Chan Ho-him and Matt Ott and AP Senior Producer Mayuko Ono contributed to this report.
