Wall Street’s main indexes edged higher on Monday as traders weighed the possibility of a Middle East ceasefire before Donald Trump’s self-imposed deadline. The S&P 500 added 0.3% while the Dow Jones Industrial Average rose 0.2%. The Nasdaq Composite lagged with a 0.1% gain, reflecting mixed sentiment in the tech sector.
Investors focused on developments in the Middle East, where a potential ceasefire agreement could ease tensions in key oil-producing regions. The Brent crude price held near $85 per barrel, supported by concerns over supply disruptions. Energy stocks such as ExxonMobil and Chevron saw slight gains, mirroring the cautious optimism.
Trump’s deadline, set for Wednesday, has added pressure on regional leaders to finalize terms. Earlier this month, his administration warned of potential sanctions if no agreement is reached. Analysts at Goldman Sachs noted that a breakthrough could strengthen the US dollar, while a failure might trigger volatility.
The Federal Reserve’s upcoming policy meeting later this week also weighed on market sentiment. Traders expect the central bank to hold interest rates steady but remain alert to signals on future cuts. The 10-year Treasury yield dipped slightly to 4.2%, reflecting modest demand for safer assets.
Despite the caution, some sectors showed resilience. Defense stocks such as Lockheed Martin and Raytheon Technologies gained ground as geopolitical risks remained high. The mixed signals left investors split between seeking shelter in defensive assets and betting on a potential deal.
Source: e24.no