The S&P 500 fell on Monday, weighed down by declines in technology stocks. Wall Street also assessed the latest developments in the Iran war negotiations and awaited the release of inflation data closely watched by the Federal Reserve.
The Dow Jones Industrials gained 148.01 points to 51,712.71, led by a nearly 4% gain in Caterpillar.
The much broader index shed 27.63 points to 7,472.95.
The NASDAQ plunged 351.33 points, or 1.3%, to 26,166.60.
Brent oil futures turned negative on Monday after mediators Qatar and Pakistan said that U.S. and Iranian officials had agreed on a roadmap to reach a final deal within 60 days. Oil prices later traded around session lows after the Treasury Department authorized the sale of Iranian oil for 60 days.
Major tech names pulled the market into negative territory. Shares of Alphabet dropped 5%, spurred by concerns around artificial intelligence talent departures. Amazon and Meta Platforms lost 4.8% and 2.3%, respectively. Microsoft shares also declined 3%.
SpaceX was another laggard. The stock fell 16%, posting its third straight daily decline.
However, Micron Technology was one of the outperformers, rising almost 7%. The move comes ahead of the chipmaker’s quarterly report, due Wednesday after the bell. Fellow chipmakers also saw gains, with Advanced Micro Devices moving up more than 2% and Intel adding 5%.
A key test for the market this week will be the release on Thursday of May’s reading on the personal consumption expenditures price index, the Fed’s preferred inflation gauge. Even excluding volatile food and energy prices, core PCE is expected to increase from April.
Prices for the 10-year Treasury sagged, raising yields to 4.51% from Thursday’s 4.45%. Treasury prices and yields move in opposite directions.
Oil prices sank $1.41 to $75.19 U.S. a barrel.
Gold prices dropped $36.30 to $4,209.60. U.S. an ounce.
