S&P 500 barely moves as oil spikes after Trump’s cease‑fire claim
The S&P 500 edged up 0.1% while oil prices rose after President Trump announced an energy cease‑fire that Ukraine says Moscow already broke, keeping markets on edge.
The S&P 500 inched up 0.1% as investors digested President Trump’s claim of an energy cease‑fire that Ukraine says Russia has already violated. The mixed signal on geopolitics and modest market movement matter because they shape investor confidence and everyday financial conditions.
President Donald Trump announced an "energy cease‑fire" between Russia and Ukraine over the weekend, only for Ukrainian President Volodymyr Zelenskyy to say Moscow had already broken the deal. That contradiction landed on the trading floor as oil prices rose, yet the S&P 500 barely moved, ending the morning up just 0.1%.
Investors faced a confusing mix of geopolitical headlines and earnings expectations. While the Dow Jones Industrial Average nudged up about 0.2% and the Nasdaq slipped 0.1%, the broader market index stayed near flat, reflecting caution ahead of a busy earnings week.
What we know
According to CNBC, the S&P 500 was "little changed" on Monday after a winning week for the major averages. The index rose 0.1% in early trading, while the Dow gained roughly 0.2% and the Nasdaq fell about 0.1%.
Oil markets reacted sharply to Trump’s cease‑fire announcement. West Texas Intermediate futures advanced 2% to around $93 per barrel, and Brent crude rose 2% to about $106 per barrel. Separately, Yahoo Finance reported Brent futures hovering just below $107 per barrel and WTI at $93 per barrel, as the president also suggested the United States might join Saudi Arabia against the Houthis.
Trump’s statements conflicted with Ukrainian officials. While Trump said Russia and Ukraine had agreed to refrain from targeting each other's energy infrastructure, Zelenskyy warned that Moscow had already violated the cease‑fire.
In the corporate arena, Starbucks publicly denied any plan to acquire Chipotle. A Starbucks spokesperson told Yahoo Finance, "As a matter of policy, we don't comment on rumors and speculation, but we want to be clear we are not buying Chipotle." The denial lifted Starbucks shares a little over 1% in pre‑market trading, while Chipotle fell more than 4%.
Technology stocks added to the market’s mixed tone. Micron Technology shares dropped about 4% after investors assessed competition from China’s CXMT, which announced progress on a new chip structure. Meanwhile, Salesforce received a double upgrade from Bank of America, boosting its price target to $285, 24% above the prior level.
Analysts highlighted earnings growth expectations. FactSet’s John Butters projected the S&P 500 to post 29.6% earnings growth for the quarter, marking the fourth straight quarter of above‑25% growth, driven by AI data‑center expansion. Bloomberg Intelligence data compiled by Yahoo Finance showed S&P 500 companies expected to post a 25% jump in third‑quarter profits versus a year earlier.
"Investors have kind of narrowed in on some of the important aspects," said Brian Leonard, portfolio manager of the Keeley Gabelli Small Cap Dividend Fund, as quoted by CNBC. He emphasized the need to assess whether companies can withstand current pressures while continuing margin growth.
The earnings calendar looms large. Major banks—including JPMorgan Chase, Goldman Sachs, Citigroup and Wells Fargo—are slated to report results on Tuesday, a key test for the market after a volatile stretch marked by rising interest rates and higher oil prices.
Sources
- CNBC: S&P 500 is little changed to start the week; Micron leads tech lower: Live updates
- Yahoo Finance: Stock market today: Dow, S&P 500, Nasdaq futures rise in lead up to earnings season, oil prices fall
File photo: The White House / Wikimedia Commons, Public domain