The stock market had a relatively quiet session, with some profit-taking across semiconductor names limiting gains across the S&P 500 (flat) and Nasdaq Composite (+0.1%), while another retreat in oil prices supported strength in the broader market, sending the DJIA (+0.4%) to fresh record highs.

While the S&P 500 managed to capture a record closing high, the index spent much of the session in negative territory, which was largely due to weakness in the information technology sector (-0.4%). The sector finished well off its session lows, but semiconductor names remained a point of weakness following yesterday's Micron-led rally.

Micron (MU 928.41, +32.53, +3.63%) and other memory storage names managed to finish the session with gains, but large chipmakers such as NVIDIA (NVDA 212.60, -2.26, -1.05%) and Intel (INTC 121.77, -1.75, -1.42%) traded lower, while Qualcomm (QCOM 233.40, -15.42, -6.20%) was a notable laggard.

The PHLX Semiconductor Index finished 1.4% lower.

The information technology sector was one of five S&P 500 sectors to finish lower today, though losses elsewhere were generally modest.

The financials sector (-0.8%) was another laggard, with particular weakness across investment manager and insurance names. JPMorgan Chase (JPM 299.28, -7.46, -2.43%) traded lower after CEO Jamie Dimon said at a conference that the bank could commit $10 billion to $20 billion toward an acquisition in the coming years.

Elsewhere, the energy sector (-1.5%) finished with the widest loss as optimism surrounding a potential peace agreement between the U.S. and Iran sent oil prices sharply lower again today. The White House denied reports from Iranian state media suggesting the two sides are close to finalizing a memorandum of understanding that would restore traffic through the Strait of Hormuz, though Secretary of State Marco Rubio said during a cabinet meeting that some progress has been made toward a peace agreement.

Crude oil futures settled today's session $5.29 lower (-5.6%) at $88.60 per barrel.

Airlines, cruise lines, and homebuilders all outperformed again today, with the latter two groups helping lift the consumer discretionary sector (+1.9%). Treasury yields also moved modestly lower, and the iShares U.S. Home Construction ETF advanced 1.6%.

Elsewhere in the sector, Amazon (AMZN 271.85, +6.56, +2.47%) provided solid mega-cap leadership, while MGM Resorts (MGM 41.95, +3.50, +9.10%) was among the best-performing S&P 500 components after several brokerage upgrades.

The consumer staples sector (+1.0%) also outperformed as investors did some bargain hunting following yesterday's retreat, while Meta Platforms (META 635.26, +22.92, +3.74%) moved higher this afternoon after TechCrunch reported that the company plans to introduce global consumer subscription offerings, helping lift the communication services sector (+0.7%) to its best levels of the session.

Overall, stocks remained near record levels despite some consolidation across semiconductor names, while falling oil prices continued to reinforce optimism that a U.S.-Iran agreement is becoming increasingly plausible. At the same time, investors have continued to show a willingness to buy dips across semiconductors and other AI-related names, which could fuel another push further into record territory.

U.S. Treasuries padded this week's gains during an otherwise quiet Wednesday session. Treasuries set fresh lows after today's $70 billion 5-year note auction met weaker demand than yesterday's solid 2-year note sale, but the last couple hours saw a return to pre-auction levels. The 2-year note yield settled down two basis points to 4.03%, the 5-year note yield settled down one basis point to 4.18%, and the 10-year note yield settled down one basis point to 4.48%. 

• Russell 2000: +17.7% YTD
• Nasdaq Composite: +14.8% YTD
• S&P Mid Cap 400: +12.4% YTD
• S&P 500: +9.9% YTD
• DJIA: +5.4% YTD

Reviewing today's data:

• The weekly MBA Mortgage Index fell 8.5% to follow last week's 2.3% decrease. The Purchase Index was down 0.4% while the Refinance Index fell 18.1%.

Stocks are mixed early in the afternoon, with the DJIA (+0.4%) notching a new all-time intraday high as broader market participation remains strong amid falling oil prices, while weakness across technology keeps the S&P 500 (-0.1%) and Nasdaq Composite (-0.1%) near their baselines.

Semiconductor names are off their worst levels of the session, though the PHLX Semiconductor Index is still down 2.0% following yesterday's rally. Qualcomm (QCOM 228.77, -20.05, -8.06%) is a laggard, and NVIDIA (NVDA 211.53, -3.33, -1.55%) extends its post-earnings skid, but memory names such as Micron (MU 907.22, +11.34, +1.27%) and Seagate Tech (STX 870.76, +25.00, +2.96%) continue to move higher.

The top-weighted information technology sector (-0.7%) remains lower for the day, though it is considerably improved from earlier levels.

Other laggards include the financials (-1.0%) and utilities (-0.5%) sectors, while the energy sector (-1.1%) is pressured by lower oil prices.

Crude oil is currently down $4.10 (-4.4%) to $89.79 per barrel. The White House denied reports from Iranian state media suggesting the two sides are close to finalizing a memorandum of understanding that would restore traffic through the Strait of Hormuz, though Secretary of State Marco Rubio said during a cabinet meeting that some progress has been made toward a peace agreement.

Oil- and rate-sensitive groups such as airlines, cruise lines, and homebuilders are outperforming as a result, contributing to the consumer discretionary sector's (+2.1%) leadership.

Elsewhere in the sector, MGM Resorts (MGM 42.23, +3.78, +9.83%) is among the best-performing S&P 500 components after JPMorgan upgraded the stock to Overweight from Neutral with a $46 target price, while Truist upgraded the stock to Buy from Hold with a $55 target price.

The consumer staples sector (+1.3%) is another outperformer as investors do some bargain hunting following yesterday's relatively sharp retreat.

Outside of the S&P 500, the Russell 2000 (+0.2%) traded to a new all-time high, while the S&P Mid Cap 400 (-0.1%) is modestly lower.

For now, the market continues to show healthy participation beneath the surface even as technology stocks pause following recent strength. Falling oil prices and easing geopolitical concerns are helping support rotation into more economically sensitive areas of the market.

Reviewing today's data:

• The MBA Mortgage Applications Index for the week ended May 23 decreased 8.5% from a prior decrease of 2.3%