GLOBAL MARKETS: Stocks mostly ease with tech shares while oil prices climb to two-week high

Major stock indexes mostly slipped on Monday as technology shares declined, while oil prices climbed amid investor hopes that negotiations could help end the ongoing Iran war.

Brent crude reached its highest closing level in nearly two weeks after U.S. President Donald Trump said he had paused a planned military strike against Iran to allow room for talks following a new peace proposal from Tehran. U.S. crude oil settled up $3.24 at $108.66 per barrel, while Brent crude gained $2.84 to close at $112.10 per barrel.

Investors remain concerned that the conflict, which began in late February, could trigger long-term inflationary pressures by driving up energy prices. Those concerns have also fueled expectations that the U.S. Federal Reserve may consider raising interest rates if inflation continues to accelerate.

Technology shares led Wall Street losses as investors took profits ahead of quarterly earnings results from Nvidia, which are scheduled for release on Wednesday. The semiconductor sector was among the hardest hit, with the Philadelphia Semiconductor Index falling 2.5%, while the broader technology sector declined 1%.

Bruce Zaro, managing director at Granite Wealth Management, said semiconductor stocks have experienced a massive rally in recent months, making them vulnerable to profit-taking. He added that investors are also worried about rising interest rates and their potential impact on technology stocks.

The Dow Jones Industrial Average rose 159.95 points, or 0.32%, to close at 49,686.12. Meanwhile, the S&P 500 slipped 0.07% to 7,403.05, while the Nasdaq Composite fell 0.51% to 26,090.73.

Global markets were mixed, with MSCI’s world stock index edging lower, while Europe’s STOXX 600 index posted gains. Bond yields also remained elevated, reflecting investor concerns over inflation and government borrowing.

The benchmark U.S. 10-year Treasury yield earlier climbed to its highest level since February 2025 before easing slightly later in the session. Japan’s 10-year government bond yield also reached levels not seen since 1996 after Tokyo proposed additional debt issuance to support economic measures related to the Iran conflict.

Investors are also closely watching upcoming earnings from major retailers, including Walmart, for signs of how consumers are coping with rising fuel and energy costs.

Meanwhile, the U.S. dollar weakened against major currencies as Treasury yields retreated from recent highs. Gold prices also advanced, with spot gold rising 0.61% to $4,565.54 an ounce.

A separate development in the technology sector saw a U.S. jury rule against Elon Musk in his lawsuit against OpenAI, finding the company not liable over claims that it had deviated from its original mission. -Reporting by Caroline Valetkevitch in New York and Samuel Indyk in London; additional reporting by Wayne Cole; Editing by Sharon Singleton, Nick Zieminski, Deepa Babington, Rod Nickel/Reuters