NEW YORK, June 22, 2026, 11:03 a.m. EDT
- The S&P 500 (.SPX) ticked up and the Dow (.DJI) gained, but the Nasdaq (.IXIC) fell as losses in mega-cap names weighed more than gains in chip stocks.
- Brent crude dropped under $79 as U.S.-Iran talks moved forward, but the U.S. 10-year yield kept rising. That continued to weigh on tech stocks that are sensitive to rates.
- Micron (NASDAQ:MU) gained close to 5% before its results this week. Memory chips are shaping up as the lower-profile AI trade.
Stocks were mixed in early U.S. trading Monday, with the S&P 500 (.SPX) and the Dow Jones Industrial Average (.DJI) ticking up, while the Nasdaq Composite (.IXIC) dropped as traders looked at softer oil prices, higher bond yields and new interest in chip names like Micron Technology (NASDAQ:MU). According to Reuters/LSEG, the S&P 500 was up 0.11% at 7,508.57, the Dow gained 0.42% to 51,779.48, and the Nasdaq slipped 0.40% to 26,410.98.
U.S.-Iran talks drove moves, but the outcome was messy. Oil fell—Brent crude dropped 2.94% to $78.20—but Treasuries saw no clear benefit. The 10-year yield rose to 4.485%, which is a problem for high-priced growth names since higher yields cut the value of future earnings.
Tape action looked stronger than the Nasdaq made it seem. Seven of the 11 main S&P 500 sectors traded in the green at one point. Financials led the way. More stocks rose than fell on both the NYSE and Nasdaq, Reuters said. Communication services were weaker, with Alphabet (NASDAQ:GOOGL) and SpaceX dragging on the tech index.
Breadth versus weight is what’s moving things under the surface. Breadth looks at how many stocks go up versus down. That has been positive, but it didn’t stop the Nasdaq from sinking. This is because just a few big names can sway the index. Alphabet dropped 5.6% in the latest trading. Microsoft (NASDAQ:MSFT) gave up 1.4% and Nvidia (NASDAQ:NVDA) lost 0.6%. Micron was up 4.8%.
The Dow had another index oddity. Unlike the S&P 500, the Dow uses a price-weighted method, so higher-priced stocks have more sway, no matter their market cap. Caterpillar (NYSE:CAT) and Visa (NYSE:V) made up about a third of the Dow’s intraday gain, according to MarketWatch, which made the blue-chip index seem stronger than what you’d see in the broader market.
Micron offered investors something to trade on. The company’s results on Wednesday are seen as a test of demand for memory chips in AI systems, after a big rally in the stock this year that pushed chip names past Nvidia. Reuters reported Micron shares are up nearly 300% on the year, with the Philadelphia Semiconductor Index (.SOX) reaching a new record earlier Monday.
Dan Coatsworth, head of markets at AJ Bell, said markets have held up, but investors are staying cautious since the Middle East story isn’t over. Traders are showing that in prices. Oil markets are pricing out some war risk. Bond markets still hanging on to inflation risk.
Thursday brings personal consumption expenditures data, the inflation measure the Fed watches closely. Bank of America and Deutsche Bank now see a rate hike from the Fed in September, according to Reuters. BofA said the Fed’s “reaction function is much more hawkish” than it expected. Deutsche Bank pointed to some risk of a possible move as early as July. Reuters
The risk is clear. If inflation comes in hotter, oil bounces, or the 60-day U.S.-Iran talks stall, markets could see bets on more Fed hikes and chip names catching a selloff at the same time. That would knock out both key supports — easing geopolitical worries and AI-driven spending — in one move.
Healthcare traded higher on deal news. AbbVie (NYSE:ABBV) gained 5.5%, while Apogee Therapeutics (NASDAQ:APGE) soared 46.8% after AbbVie said it will buy Apogee for $10.9 billion in cash. It’s among the largest biotech acquisitions this year and points to big pharma still putting money into drug pipelines.
