[BRIEFING.COM] The stock market had a choppy midweek session amid a rebound in oil prices, with the S&P 500 (-0.1%), Nasdaq Composite (+0.1%), and DJIA (-0.6%) finishing mostly lower. 

Crude oil futures settled today's session $3.03 higher (+3.6%) at $86.88 per barrel amid reports of difficulties in the Strait of Hormuz, with CNBC reporting that three cargo ships had been hit by projectiles and the U.S. has sunk several Iranian vessels. 

The IEA confirmed that member countries will release 400 million barrels of oil from their reserves, but the news was largely priced in since the recommendation was made known yesterday. 

In related news, the broader market dipped this afternoon following an ABC News report that the FBI warned California law enforcement that Iran had allegedly aspired to launch a surprise drone attack from a vessel off the U.S. West Coast targeting unspecified locations in the state if the U.S. conducted strikes against the country.

The recent volatility in the energy market was not reflected in the February CPI (0.3%; Briefing.com consensus: 0.3%) and Core CPI (0.2%; Briefing.com consensus: 0.2%) readings, which came in line with expectations, a modestly positive development given next month's reading likely will reflect the increase across fuel prices. 

Still, the broader market trended lower today, with just three S&P 500 sectors capturing a gain. 

The energy sector (+2.4%) unsurprisingly notched the widest gain amid the rebound in oil prices, moving into positive week-to-date territory. 

This week's top performer, the information technology sector (+0.3%), also finished modestly higher. Oracle (ORCL 163.09, +13.69, +9.16%) was among the best-performing S&P 500 stocks today after an impressive beat-and-raise earnings report. However, software names dotted the bottom of the sector's standings, with the iShares GS Software ETF (+0.1%) finishing flattish. 

The recent software weakness has also resulted in renewed pressure across asset managers amid persistent concerns about private credit quality after Financial Times reported that JPMorgan has begun marking down some private credit portfolios linked to software debt, which could reduce the borrowing capacity of affected companies.

Separately, Bloomberg reported that Cliffwater's flagship private credit fund received redemption requests exceeding 7%, serving as another piece of evidence that the group is under pressure.

The financials sector (-0.8%) was a laggard today as a result. 

Other underperformers included the consumer staples sector (-1.3%), which faced particular weakness across its food names after Campbell Soup (CPB 22.94, -1.74, -7.05%) missed earnings estimates, while the real estate (-1.1%) and utilities (-0.8%) sectors logged similar losses. 

Losses were modest elsewhere, which helped the major averages log a mixed finish despite relatively broad weakness. 

Outside of the S&P 500, the Russell 2000 (-0.2%) and S&P Mid Cap 400 (-0.3%) logged similar losses.

Overall, the session reflected a cautious tone as investors monitored developments in the Strait of Hormuz and the potential for further disruptions to energy markets. With oil volatility rising again, geopolitical headlines will likely continue to influence market direction in the near term.

U.S. Treasuries faced renewed pressure on Wednesday, which sent yields on 10s and 30s to their highest levels since early February while the 2-year yield settled at its highest level since late September. The 2-year note yield settled up six basis points to 3.63%, and the 10-year note yield settled up seven basis points to 4.21%. 

• S&P Mid Cap 400: +3.4% YTD
• Russell 2000: +2.5% YTD
• S&P 500: -1.0% YTD
• DJIA: -1.3% YTD
• Nasdaq Composite: -2.3% YTD

Reviewing today's data:

• Total CPI increased 0.3% month-over-month in February (Briefing.com consensus 0.3%) and was up 2.4% year-over-year, versus 2.4% for the 12 months ending in January. Core CPI, which excludes food and energy, increased 0.2% month-over-month (Briefing.com consensus 0.2%) and was up 2.5% year-over-year, versus 2.5% for the 12 months ending in January.
  
  • The key takeaway from the report is that it matched expectations at the headline and core levels, which is mildly positive, given the recent surge in energy prices that will increase the market's expectations for a hotter reading in March.
• The weekly MBA Mortgage Index was up 3.2% after increasing 11.0% a week ago. The Purchase Index was up 7.8% while the Refinance Index increased 0.5%.
• The Treasury reported a $307.5 billion deficit for February (Briefing.com consensus -$170.0 bln), which was much wider than expected and it was a bit wider than the $307.0 billion deficit reported for February 2025. Receipts totaled $313.1 billion, while outlays reached $620.6 billion.
  
  • The key takeaway from the report is that while the February deficit was much larger than expected, the year-to-date deficit is nearly $150 billion smaller than it was at this time last year, reflecting some fiscal improvement.

[BRIEFING.COM] The major averages continue to trade modestly lower with just over half an hour left in today's action. The S&P 500 (-0.3%) and Nasdaq Composite (-0.2%) remain in positive week-to-date territory, while the DJIA (-0.8%) moves beneath its baseline for the week amid today's underperformance.

Shares of Sable Offshore Corp. (SOC 17.62, +3.21, +22.28%) surged sharply higher after Bloomberg reported that President Trump is preparing to invoke an emergency powers act to ease permitting for SOC and allow for drilling off the southern California coast. 

[BRIEFING.COM] The S&P 500 (-0.3%), Nasdaq Composite (-0.1%), and DJIA (-0.8%) remain lower across the board as the market enters the final hour of the session. 

Not much has changed at the sector level either, with just the energy (+2.2%) and information technology (-0.1%) sectors trading higher. Crude oil futures settled today's session $3.03 higher (+3.6%) at $86.88 per barrel amid ongoing geopolitical hostilities in the Middle East. 

[BRIEFING.COM] The S&P 500 (-0.32%) is in second place on Wednesday afternoon following the release of the Treasury's February budget from the bottom of the hour.

The Treasury Budget for February showed a deficit of $307.5 billion compared to a deficit of $307.0 billion in the same period a year ago.

The February deficit resulted from outlays ($620.6 billion) exceeding receipts ($313.1 billion). The Treasury Budget data are not seasonally adjusted so the February deficit cannot be compared to the January deficit of $94.6 bln.

Overall, February's U.S. budget deficit was little changed from a year earlier as increases in receipts and outlays were nearly matched, while tariff-related revenue tied to President Donald Trump's duties had yet to reflect last month's Supreme Court ruling striking down many of those measures. Receipts rose 6%, helped by higher withheld income taxes tied in part to year-end bonuses, while outlays increased 3%, with gains partially offset by larger corporate and individual tax refunds following last year's Republican tax cut legislation.

[BRIEFING.COM] The tech-heavy Nasdaq Composite (-0.12%) has dipped into the red in the last half hour after headlines crossed that the FBI warned California law enforcement that Iran had allegedly aspired to launch a surprise drone attack from a vessel off the U.S. West Coast targeting unspecified locations in the state if the U.S. conducted strikes against the country. The bulletin noted authorities lack details on timing or targets but highlighted growing concern that drones could be used for retaliatory attacks tied to the escalating U.S./Iran conflict.

Gold futures settled $63 lower (-1.2%) at $5,179.10/oz, pressured by a stronger U.S. dollar and higher Treasury yields as investors reassess the outlook for Federal Reserve interest rates following recent economic data. The pullback comes after gold's recent surge, with some traders taking profits while weighing persistent geopolitical tensions that continue to support safe-haven demand.

Meanwhile, the U.S. Dollar Index is up about +0.3% to $99.25.

[BRIEFING.COM] The Dow Jones Industrial Average (-0.61%) is down more than 290 points on Wednesday afternoon.

A look inside the DJIA shows that Sherwin-Williams (SHW 323.86, -6.47, -1.96%), Goldman Sachs (GS 821.05, -12.76, -1.53%), and Visa (V 310.54, -3.89, -1.24%) are among today's top laggards.

Meanwhile, Chevron (CVX 190.05, +3.76, +2.02%) outperforms.

The DJIA is now down -0.18% week-to-date.

Elsewhere, U.S. Treasuries hover just above lows that were set about an hour ago. The long bond is a bit behind while shorter tenors outperform slightly, but the entire complex trades deep in the red with yields at fresh highs for the month and the 2-yr yield threatening its highest settlement since late September. The market has stayed above midday lows in immediate reaction to today's $39 bln 10-yr note reopening, even though the sale met weak demand following yesterday's poor 3-yr note offering. Today's reopening drew a high yield of 4.217%, which tailed the when-issued yield by 0.7 bps while the bid-to-cover ratio (2.45x) was below average (2.53x average). Indirect takedown (74.5%) exceeded the prior 12-auction average (70.7%), making for a silver lining.

[BRIEFING.COM] Stocks have faced choppy action so far as a rebound in oil prices has put broad pressure on the market. Some lingering strength across tech names helps the Nasdaq Composite (+0.1%) outperform the S&P 500 (-0.1%) and the DJIA (-0.6%). The Russell 2000 (-0.5%) and S&P Mid Cap 400 (-0.5%) are underperforming. 

Stocks opened little changed following the release of the February CPI report (0.3%; Briefing.com consensus: 0.3%), which came in line with expectations, though the February reading does not yet reflect the recent surge in oil prices. 

Hostilities in the Strait of Hormuz continue to drive headlines, with CNBC reporting that three cargo ships have been struck by projectiles, with the U.S. sinking several Iranian minelaying vessels as well.

Oil fell toward its overnight low (81.79) after the IEA confirmed that its 32 member states will release 400 million barrels from their strategic reserves, but that drop has been reversed entirely, with the price holding steady after the latest weekly inventory report from the EIA showed a 3.82 million barrel build against expectations for a smaller increase. Currently, crude oil is up $3.96 (+4.8%) to $87.41 per barrel. 

The energy sector (+1.9%) holds the widest gain by a considerable margin, moving into positive week-to-date territory. 

The information technology sector (+0.2%) trades modestly higher, though it too has spent time in negative territory amid today's choppiness. 

Oracle (ORCL 163.59, +14.19, +9.50%) is the best-performing S&P 500 stock after an impressive beat-and-raise earnings report. However, other software names are among today's laggards, with the iShares GS Software ETF (-0.4%) trading modestly lower. 

On a related note, Financial Times reported that JPMorgan Chase (JPM 287.12, -1.60, -0.56%) is marking down loans held by private credit firms, targeting software company loans in particular amid renewed fears of AI disruption.

Asset managers such as Ares Management (ARES 104.71, -3.97, -3.65%) and Apollo Global Management (APO 104.96, -3.22, -2.97%) are among the worst performers in the financials sector (-1.0%). 

Elsewhere, the consumer staples sector (-1.1%) holds a similar loss, with particular weakness across food names after Campbell Soup (CPB 23.26, -1.42, -5.77%) missed earnings expectations. 

In total, eight S&P 500 sectors trade lower at this juncture, though the losses are relatively modest in nature. 

Reviewing today's data:

• Weekly MBA Mortgage Applications Index 3.2%; Prior 11.0%
• February CPI 0.3% (Briefing.com consensus 0.3%); Prior 0.2%, February Core CPI 0.2% (Briefing.com consensus 0.2%); Prior 0.3%
  
  • The key takeaway from the report is that it matched expectations at the headline and core levels, which is mildly positive since the recent surge in energy prices will increase the market's expectations for a hotter reading in March.

[BRIEFING.COM] The S&P 500 (-0.4%), Nasdaq Composite (flat), and DJIA (-0.9%) remain mostly lower shortly after midday. 

Shares of Papa John's (PZZA 39.63, +7.09, +21.8%) have spiked higher in recent trade following a Wall Street Journal report that Qatari-backed fund Irth has bid $1.5 billion (roughly $47 per share) for the company. 

[BRIEFING.COM] The major averages continue to chart session lows at midday. 

The financials sector (-1.4%) is now the worst-performing S&P 500 sector, with asset manager names such as Ares Management (ARES 102.16, -6.52, -6.00%) and Apollo Global Management (APO 103.68, -4.49, -4.15%) once again under pressure. Financial Times reported that JPMorgan Chase (JPM 285.29, -3.44, -1.19%) has marked down the value of some private credit group loan portfolios. 

[BRIEFING.COM] Stocks are off to a choppy start to the midweek session, with the S&P 500 (-0.4%), Nasdaq Composite (-0.2%), and DJIA (-0.9%) sitting near session lows shortly before midday. 

Developments on the energy front continue to garner attention from the market. After two days of sharp retreats, the price of oil is increasing today, currently up $3.53 (+4.2%) to $86.98 per barrel. The move comes after CNBC reported that several cargo ships in the Strait of Hormuz have been hit by projectiles and the U.S. has sunk some Iranian ships, including some minelayers. 

Notably, the IEA confirmed that its 32 member states will release 400 million barrels from their strategic reserves, but the initial drop in oil prices was reversed entirely, with the price holding steady after the latest weekly inventory report from the EIA showed a 3.82 million barrel build against expectations for a smaller increase.

Currently, the energy sector (+1.8%) is the only S&P 500 sector that holds a gain.

The top-weighted information technology sector (flat) was an early outperformer but has since ceded its gain. Oracle (ORCL 164.53, +15.13, +10.13%) is the best-performing S&P 500 stock after a beat-and-raise earnings report last night, with the enthusiasm initially registering across other software stocks, which have had a tough start to the week. The iShares GS Software ETF (-0.2%) now holds a modest loss as the broader market has turned lower.

Outside of the S&P 500, the Russell 2000 (-0.2%) and S&P Mid Cap 400 (-0.3%) trade with similar losses. 

[BRIEFING.COM] The major averages continue to face some choppy early action, once again trading mostly higher. 

The energy sector (+1.8%) now holds the widest gain by a considerable margin. The sector is supported by a rising price of oil, as WTI crude rises $2.83, or 3.4%, to $86.28 per barrel. Oil fell toward its overnight low (81.79) after the IEA confirmed that its 32 member states will release 400 million barrels from their strategic reserves, but that drop has been reversed entirely, with the price holding steady after the latest weekly inventory report from the EIA showed a 3.82 million barrel build against expectations for a smaller increase.

Elsewhere in the sector, Bloomberg reports that Shell plc (SHEL 86.54, +1.43, +1.68%) and other suppliers are declaring force majeure on LNG contracts.

[BRIEFING.COM] The S&P 500 (-0.1%), Nasdaq Composite (+0.2%), and DJIA (-0.6%) now lean mostly lower as gains have narrowed across some of the market's weightiest components. 

Oracle (ORCL 167.54, +18.14, +12.15%) remains sharply higher as investors focus on the company's stellar earnings report. The company delivered solid upside on both EPS and revenue while also providing an encouraging long-term growth outlook. The results marked a strong rebound after shares sold off following the company's Q2 report in December. Importantly, Oracle highlighted accelerating AI-driven demand and issued an upbeat FY27 revenue outlook that is helping ease investor concerns that massive AI infrastructure spending may not translate into meaningful revenue growth.

The sharp acceleration in AI-related demand, combined with the enormous $553 billion RPO backlog, provides tangible evidence that Oracle's aggressive AI infrastructure investments are translating into long-term contracted revenue.

[BRIEFING.COM] The S&P 500 (+0.2), Nasdaq Composite (+0.7%), and DJIA (-0.2%) trade mostly higher shortly after the open. 

Oil prices are modestly higher off of yesterday's double-digit retreat amid escalating tensions in the Strait of Hormuz. Crude oil is currently up $1.79 (+2.1%) to $85.24 per barrel. The energy sector (+0.8%) holds a nice gain as a result, though the sector remains lower week-to-date. Notably, the 32 member countries of the International Energy Agency unanimously agreed today to make 400 million barrels of oil from their emergency reserves available to the market to address disruptions in oil markets stemming from the war in the Middle East.

The top-weighted information technology sector (+1.1%) is another outperformer and is currently the best-performing S&P 500 sector this week by a considerable margin. Oracle (ORCL 168.74, +19.34, +12.94%) is sharply higher after a beat-and-raise earnings report, which has resonated positively across the software landscape after recent pressure. The iShares GS Software ETF is up 1.3%. 

Mega-cap tech names trade mostly higher this morning, helping the consumer discretionary (+1.2%) and communication services (+0.6%) sectors trade higher. Tesla (TSLA 414.57, +15.34, +3.84%) is a standout. 

Meanwhile, the seven other S&P 500 sectors trade lower, though the weakness is relatively modest.

The materials sector (-1.2%) is a laggard amid a pullback in precious metal prices today, while the consumer staples sector (-1.0%) holds a similar loss after an earnings miss from Campbell Soup (CPB 23.10, -1.58, -6.42%).

The stock market is on track for a modestly lower opening following this morning's batch of economic data. 

Total CPI increased 0.3% month-over-month in February (Briefing.com consensus 0.3%) and was up 2.4% year-over-year, versus 2.4% for the 12 months ending in January. Core CPI, which excludes food and energy, increased 0.2% month-over-month (Briefing.com consensus 0.2%) and was up 2.5% year-over-year, versus 2.5% for the 12 months ending in January.

The key takeaway from the report is that it matched expectations at the headline and core levels, which is mildly positive since the recent surge in energy prices will increase the market's expectations for a hotter reading in March.

The S&P 500 futures currently trade 14 points below fair value.

Equity indices in the Asia-Pacific region ended the midweek session on a mostly higher note. South Korea's exports were up 55.6% yr/yr through the first ten days of March with chip exports spiking 175.9% to a record of $7.6 bln. Mitsubishi cancelled a planned yen-denominated debt sale. The Reserve Bank of Australia is expected to announce a rate hike next week after hawkish comments from Deputy Governor Hauser. Japan's trade minister Akazawa said that Japan can release oil reserves without coordinating with G7 while South Korea's Industry Ministry said that it is reviewing which position to take.

• In economic data:
  • Japan's February PPI -0.1% m/m (expected 0.1%; last 0.2%); 2.0% yr/yr (expected 2.2%; last 2.3%)

---Equity Markets---

• Japan's Nikkei: +1.4%
• Hong Kong's Hang Seng: -0.2%
• China's Shanghai Composite: +0.3%
• India's Sensex: -1.7%
• South Korea's Kospi: +1.4%
• Australia's ASX All Ordinaries: +0.6%

Major European indices trade on a lower note. The Bank of France maintained its Q1 domestic growth forecast at 0.2-0.3%, though it acknowledged the presence of increased uncertainty due to the Iran war. The U.K.'s Office for Budget Responsibility expects British inflation to end the year at 3% if energy prices remain at their current levels. European Central Bank policymakers Nagel, Kazimir, and Kazaks spoke in favor of holding policy steady at next week's ECB meeting.

• In economic data:
  • Germany's February CPI 0.2% m/m, as expected (last 0.1%); 1.9% yr/yr, as expected (last 2.1%)
  • Spain's January Retail Sales 4.0% yr/yr (last 2.8%)

---Equity Markets---

• STOXX Europe 600: -1.0%
• Germany's DAX: -1.5%
• U.K.'s FTSE 100: -0.9%
• France's CAC 40: -0.9%
• Italy's FTSE MIB: -1.2%
• Spain's IBEX 35: -0.8%

The S&P 500 futures currently trade 13 points below fair value.

Just released, total CPI increased 0.3% month-over-month in February (Briefing.com consensus: 0.3%) and was up 2.4% year-over-year, unchanged from the 12 months ending in January.

Core CPI, which excludes food and energy, increased 0.2% month-over-month (Briefing.com consensus: 0.2%) and was up 2.5% year-over-year, unchanged from the 12 months ending in January.

Equity futures point to a modestly lower opening after stocks had another choppy session yesterday that was largely driven by developments on the geopolitical and energy fronts.

Oil retreated sharply again, though stocks gave back some of their earlier gains in the afternoon as reports began to circulate that Iran has begun deploying naval mines in the Strait of Hormuz. The major averages ended up finishing mostly lower in close proximity to their unchanged levels.

Currently, oil is up around 3%, trading a touch above the $86 per barrel mark. 

The Wall Street Journal reports that the IEA is expected to announce the largest-ever oil reserve release today. Japan also announced that it will release its part of oil reserves on Monday, independent of the IEA's decision. 

The recent surge in oil prices is beginning to work its way through the economy, with Bloomberg reporting that airlines are raising fares amid the recent increase to fuel prices. 

The market will get an inflation reading today in the form of the February CPI (Briefing.com consensus 0.3%) and Core CPI (Briefing.com consensus 0.2%) readings, though the February reading will not yet reflect the recent energy surge. 

On the earnings front, Oracle (ORCL 163.85, +14.45, +9.7%) made a sharp move higher following its earnings release yesterday evening. The technology sector was a relative outperformer yesterday, though software stocks in particular have been a point of weakness after a solid rebound move last week. 

The MBA Applications Index for the week ended March 7 increased 3.2%, from a prior increase of 11.0%.

In corporate news:

• Cintas (CTAS 191.90, -4.38, -2.2%) is set to acquire UniFirst (278.43, +20.52, +8.0%) in a $5.5 billion cash and stock deal.
• JPMorgan Chase (JPM 287.88, -0.85, -0.29) is marking down some private credit loans, according to Financial Times. 
• Oracle (ORCL 163.85, +14.45, +9.7%) beat EPS expectations by $0.09, beat revenue expectations, guided Q4 EPS above consensus with revenues in line, and guided FY27 revenues above consensus. 

Reviewing overnight developments:

Equity indices in the Asia-Pacific region ended the midweek session on a mostly higher note. Japan's Nikkei: +1.4%, Hong Kong's Hang Seng: -0.2%, China's Shanghai Composite: +0.3%, India's Sensex: -1.7%, South Korea's Kospi: +1.4%, Australia's ASX All Ordinaries: +0.6%.

In news:

• South Korea's exports were up 55.6% yr/yr through the first ten days of March with chip exports spiking 175.9% to a record of $7.6 bln.
• Mitsubishi cancelled a planned yen-denominated debt sale.
• The Reserve Bank of Australia is expected to announce a rate hike next week after hawkish comments from Deputy Governor Hauser.
• Japan's trade minister Akazawa said that Japan can release oil reserves without coordinating with G7 while South Korea's Industry Ministry said that it is reviewing which position to take.

In economic data:

• Japan's February PPI -0.1% m/m (expected 0.1%; last 0.2%); 2.0% yr/yr (expected 2.2%; last 2.3%)

Major European indices trade on a lower note. STOXX Europe 600: -0.8%, Germany's DAX: -1.2%, U.K.'s FTSE 100: -0.8%, France's CAC 40: -0.7%, Italy's FTSE MIB: -0.9%, Spain's IBEX 35: -0.3%.

In news:

• The Bank of France maintained its Q1 domestic growth forecast at 0.2-0.3%, though it acknowledged the presence of increased uncertainty due to the Iran war.
• The U.K.'s Office for Budget Responsibility expects British inflation to end the year at 3% if energy prices remain at their current levels.
• European Central Bank policymakers Nagel, Kazimir, and Kazaks spoke in favor of holding policy steady at next week's ECB meeting.

In economic data:

• Germany's February CPI 0.2% m/m, as expected (last 0.1%); 1.9% yr/yr, as expected (last 2.1%)
• Spain's January Retail Sales 4.0% yr/yr (last 2.8%)

[BRIEFING.COM] The stock market had a choppy session today, with ongoing geopolitical and energy developments triggering several broader-market moves throughout the day. The S&P 500 (-0.2%), Nasdaq Composite (flat), and DJIA (-0.1%) finished near their flatlines as afternoon developments largely negated earlier progress. The Russell 2000 (-0.2%) and S&P Mid Cap 400 (-0.5%) followed a similar trajectory. 

Oil prices retreated sharply after comments from President Trump yesterday evening suggested the conflict involving Iran may be approaching a resolution. The president also floated the possibility of the U.S. 'taking over' the Strait of Hormuz, which helped spark yesterday's sharp decline in crude.

Crude extended those losses earlier today, although the initial relief in equities was somewhat muted as investors questioned whether tensions in the region could truly ease in the near term. Reuters reported that Iranian officials indicated the blockade would remain in place unless U.S. and Israeli strikes come to an end.

The major averages made a decisive move higher roughly an hour into the session after reports that the International Energy Agency had called an emergency meeting with member nations to review supply conditions and discuss whether strategic reserves could be released to stabilize the market if necessary.

Developments continued to emerge throughout the afternoon. Energy Secretary Chris Wright wrote on X that the U.S. Navy had escorted a tanker safely through the Strait of Hormuz, though CNBC later disputed that claim while separately reporting that a Ghana-flagged tanker had successfully transited the waterway.

Meanwhile, CBS reporter Jennifer Jacobs reported on X that U.S. intelligence has observed signs Iran may be preparing to place naval mines in the shipping lanes of the strait, using smaller vessels capable of carrying several mines. CNN later corroborated the report.

Even with the ongoing uncertainty, crude oil futures settled sharply lower on the day, dropping $10.88 (-11.5%) to $83.85 per barrel.

The energy sector (-1.3%) was a laggard again today, extending this week's losses. It was not the only sector to finish in negative territory, however, as this afternoon's developments pressured the broader market from its mid-morning highs. 

The health care sector (-0.7%) also lagged, with CNC finishing as the worst-performing S&P 500 name after the company's CEO said at a conference that Affordable Care Act membership declines could be worse than previously projected.

The utilities sector (-0.7%) logged a similar loss, while relative weakness across software stocks pressured several pockets of the market. 

Meanwhile, the information technology sector (+0.1%) spent considerable time atop the sector leaderboard with a solid gain amid strength in its chipmaker components, though the gains were whittled away throughout the afternoon, leaving the PHLX Semiconductor Index (+0.7%) with a more modest gain. 

The iShares GS Software ETF finished 2.3% lower as software names came under considerable pressure. Oracle (ORCL 149.49, -2.07, -1.37%) retreated ahead of its earnings release this afternoon. 

Weakness across other packaged software names, along with financial publishing stocks, pushed the financials (-0.6%) and industrials (-0.6%) sectors near the bottom of today's standings. 

The communication services sector (+0.3%) escaped with the widest gain as modest strength in Meta Platforms (META 654.07, +6.68, +1.03%) and Alphabet (GOOG 306.93, +0.92, +0.30%) outweighed broader weakness in the sector, including a particularly sharp slide in Paramount Skydance (PSKY 10.33, -0.86, -7.69%). 

While weakness was broad today, it was also relatively modest. Only the energy sector (-1.3%) closed with a loss wider than 1.0%.

Reports that Iran is deploying naval mines in the Strait of Hormuz added another layer of uncertainty to the situation late in the session, reminding investors that conditions in the region remain fluid even as oil prices pulled back sharply today. The prospect of disruptions to shipping through one of the world's most important energy chokepoints continues to leave markets sensitive to any new developments on the geopolitical front.

U.S. Treasuries were mixed on Tuesday with 5s and shorter tenors recording modest gains while the long bond lagged after outperforming during the market's recent slide from February highs. Treasuries reached highs in late morning action but faced some pressure after a weak $58 billion 3-year note sale. The 2-year note yield settled down two basis points to 3.57%, the 10-year note yield finished unchanged at 4.14%, and the 30-year note yield settled up three basis points to 3.77%. 

• S&P Mid Cap 400: +3.7% YTD
• Russell 2000: +2.7% YTD
• DJIA: -0.7% YTD
• S&P 500: -0.9% YTD
• Nasdaq Composite: -2.3% YTD

Reviewing today's data:

• February NFIB Small Business Optimism 98.8 (Briefing.com consensus 99.5); Prior 99.3
• February Existing Home Sales 4.09 mln (Briefing.com consensus 3.88 mln); Prior was revised to 4.02 mln from 3.91 mln
  
  • The key takeaway from the report is that sales increased despite continued pressure on affordability as median prices grew for the 32nd month in a row.