US stocks drift in early trading as crude oil prices rise

NEW YORK (AP) — The U.S. stock market is drifting after uncertainty rose over the weekend about what will happen next in the Iran war, while oil prices are rising. The S&P 500 slipped less than 0.1% in early trading Monday. The index is coming off its latest all-time high, driven by strong profit reports from U.S. companies and hopes that the United States and Iran can avoid a worst-case scenario for the economy because of their war. The Dow Jones Industrial Average edged up 74 points, and the Nasdaq composite fell 0.3%. Crude oil prices climbed more than 1% as tankers still find the Strait of Hormuz effectively closed.

THIS IS A BREAKING NEWS UPDATE. AP’s earlier story follows below.

Trading on Wall Street was quietly mixed early Monday and oil prices crept up again as talks on ending the war with Iran remained at an impasse.

Futures for the S&P 500 are flat before the opening bell, while futures for the Dow Jones Industrial Average shed 0.1%. Nasdaq futures rose 0.2%.

Two Middle Eastern officials said Iran was offering to end its chokehold over the Strait of Hormuz without addressing its nuclear program, while requesting that the U.S. end its blockade of Iran. President Donald Trump is unlikely to support the proposal, which was conveyed to the U.S. through Pakistan. He wants Iran’s nuclear program closed down as part of a broader deal to end the war.

Disruptions to shipping through the strait have pushed oil prices sharply higher since the war began.

The price for a barrel of Brent crude to be delivered in July inched up 57 cents to $99.70 after eclipsing $100 overnight. U.S. benchmark crude oil added 25 cents to $94.65 per barrel.

After coming off their highs in recent weeks, the cost of gasoline in the U.S. is again markedly higher than it was the previous week. The average price for a gallon of regular gasoline was $4.11 on Monday, 7 cents more than a week ago, and almost $1 more than last year at this time.

This week will bring decisions on interest rates by top central banks, including the Federal Reserve, the European Central Bank, the Bank of Japan and the Bank of England. A big batch of potentially market-moving data is also due, including the Fed’s preferred measure of inflation, the latest U.S. economic growth report and the Conference Board’s consumer confidence survey.

The S&P 500 has leaped nearly 13% in a little under a month, boosted most recently by strong corporate earnings reports that have helped propel markets to all-time highs.

Reporting this week are tech heavyweights Alphabet, Amazon, Meta, Microsoft and Apple. Coca-Cola, General Motors and Ford also issue their most recent quarterly results in the coming days.

Also Monday, China blocked Meta’s acquisition of the artificial intelligence startup Manus, which has Chinese roots but is Singapore-based.

China’s top planning agency said it was prohibiting a foreign acquisition of Manus and had required all the parties to withdraw from the deal. Meta said the deal fully complied with the law and that it expected a “appropriate resolution” to the inquiry.

Meta shares were effectively unchanged by the news.

In midday European trading, Germany’s DAX picked up 0.9%, while the CAC 40 in Paris rose 0.7%. Britain’s FTSE 100 gained 0.3%.

In Asian trading, Tokyo’s Nikkei 225 surged 1.4% to 60,537.36 after touching a new intraday high of 60,903.95. The Kospi in South Korea jumped 2% to 6,615.03.

Hong Kong’s Hang Seng index shed 0.1% to 25,964.27 and the Shanghai Composite index gained 0.2% to 4,086.34.

Australia’s S&P/ASX 200 slipped 0.2% to 8,766.40.

Taiwan’s Taiex rallied 1.8%, helped by a revival of buying of tech shares driven by the boom in artificial intelligence. India’s Sensex added 0.8%.