The stock market started the week on shaky footing, with tech weakness and shifting geopolitical developments leading the S&P 500 (-0.1%), Nasdaq Composite (-0.5%), and DJIA (+0.3%) to a mostly lower finish.

Oil prices experienced volatility today in response to headlines surrounding the state of negotiations between the U.S. and Iran. Oil initially moved lower amid reports of potential sanction easing and an unconfirmed modified peace plan, but subsequent reports indicated the two sides remain far apart on negotiations.

Crude oil futures settled today's session $3.26 higher (+3.1%) at $108.75 per barrel, but oil prices moved lower late in the afternoon after President Trump wrote on Truth Social that he has called off planned military strikes against Iran "in that serious negotiations are now taking place."

The headline helped stocks move off their worst levels of the session late in the afternoon.

The information technology sector (-1.0%) still closed with the widest loss, but recovered nearly half of its previous weakness. Semiconductor stocks faced a continuation of Friday's losses, with the PHLX Semiconductor Index finishing 2.5% lower.

Seagate Tech (STX 740.50, -54.97, -6.91%) underperformed after Bloomberg reported that the company's CEO said building new factories "would take too long" when asked how Seagate plans to keep pace with surging memory demand, which weighed on other memory names.

Lumentum (LITE 884.98, -85.72, -8.83%) was the worst performer in the sector as electrical product names, which have increasingly moved in lockstep with semiconductor names, also retreated today. That weakness weighed on Vertiv (VRT 339.73, -31.21, -8.41%) and other related names, contributing to weakness in the industrials sector (-0.4%).

Losses were more modest elsewhere, with the consumer discretionary sector (-0.2%) pressured by weak leadership from Tesla (TSLA 410.06, -12.18, -2.88%), while the materials sector (-0.1%) finished just slightly lower.

Meanwhile, the broader market showed resilience despite the oil-driven volatility and tech weakness, with seven S&P 500 sectors finishing higher.

The financials sector (+1.2%) was supported by another strong showing from financial services names such as FactSet (FDS 224.35, +11.77, +5.54%), while the consumer staples sector (+1.3%) moved higher in broad fashion, and the real estate sector (+1.1%) rebounded from Friday's rate-driven weakness.

The energy sector (+1.8%) captured the widest gain amid the increase in oil prices today.

Outside of the S&P 500, the S&P Mid Cap 400 (-0.2%) finished modestly lower, while the Russell 2000 (-0.7%) lagged amid the weakness in growth stocks today.

Even with the market's recent leaders facing pressure today, the broader market helped stabilize the major averages, as highlighted by the outperformance of the S&P 500 Equal Weighted Index (+0.6%) relative to the market-weighted S&P 500 (-0.1%). With analyst commentary increasingly focused on the narrow leadership behind the market's recent record highs, today's session offered some encouragement for broader participation amid rotational buying across several sectors.

Attention will now increasingly shift toward NVIDIA's (NVDA 222.36, -2.96, -1.31%) earnings report later this week, which could play a major role in determining whether momentum across the AI trade reaccelerates.

U.S. Treasuries started the week on a quiet note, giving in to modest selling pressure that kept the market from building on its early strength. The 2-year note yield settled up one basis point to 4.09%, and the 10-year note yield settled up three basis points to 4.62%.

• Nasdaq Composite: +12.3% YTD
• Russell 2000: +11.8% YTD
• S&P Mid Cap 400: +9.0% YTD
• S&P 500: +8.1% YTD
• DJIA: +3.4% YTD

Reviewing today's data:

• The NAHB Housing Market Index rose to 37 in May (Briefing.com consensus 34) from 34 in April.