US sharemarkets finished mixed on Monday as weakness in major technology stocks offset gains in industrials and select semiconductor names, while investors monitored developments in US-Iran negotiations and awaited key inflation data later this week.
The S&P 500 fell 0.37% to 7,472.79, while the Nasdaq Composite lost 1.32% to close at 26,166.60. The Dow Jones Industrial Average rose 148.01 points, or 0.29%, supported by gains in Caterpillar, JPMorgan and Amgen.
Large technology stocks weighed on the broader market. Alphabet dropped 5% following concerns over artificial intelligence talent departures, while Amazon fell 4.8%, Meta Platforms lost 2.3% and Microsoft declined 3%.
SpaceX also came under pressure, falling 16% for its third consecutive daily decline after reports the company is preparing its first investment-grade bond sale.
In contrast, semiconductor stocks rebounded. Micron Technology rose almost 7% ahead of quarterly results due later this week, while Advanced Micro Devices gained more than 2% and Intel climbed 5%.
Elsewhere, oil prices fell sharply after signs of progress in negotiations between the US and Iran boosted hopes for a longer-term resolution to the conflict.
Brent crude dropped 3.31% to settle at US$77.90 a barrel, while West Texas Intermediate crude fell 2.32% to US$74.82.
The move followed reports that US and Iranian officials had agreed on a roadmap toward a final agreement within 60 days. Sentiment was further supported after the US Treasury authorised Iranian oil sales for the next 60 days.
Attention now turns to Thursday’s personal consumption expenditures report, the Federal Reserve’s preferred inflation gauge, which could influence expectations for the timing of future interest rate moves.
Australian Market Outlook
Australian shares are expected to edge higher at the open as lower energy prices improve global risk sentiment.
S&P/ASX 200 futures are up 21 points, or 0.2%, to 8,831.
Investors will be watching economic data closely, with S&P Global set to release Australia’s June Composite PMI at 9am AEST. Similar PMI readings are due throughout the day from Japan, the Eurozone, the UK and the US.
