The S&P 500 slipped 0.2% on Tuesday and the Nasdaq fell 0.6%, while the Dow ended nearly flat, as a renewed rally in energy stocks and mixed headlines from the Middle East stalled the market’s recent advance. Geopolitical uncertainty intensified after Iranian state media rejected President Trump’s claims of “productive” talks, contradicting his assertions that negotiations were underway to end the four-week conflict. That skepticism drove Brent crude above $104 per barrel and fueled a 2% gain in the energy sector, the only S&P 500 group still in positive territory for March.
High-growth AI names, including Oracle and Microsoft, came under selling pressure, with Oracle dropping 4.7% even as analysts largely maintained their bullish price targets. Retail trading also appeared to reach a turning point, as individual investors became net sellers for the first time since 2023. In deal news, Jefferies rose 2.5% following reports that Sumitomo is weighing a potential takeover bid.
