Stock Market Update

[BRIEFING.COM] The stock market is showing mixed action, with the S&P 500 (+0.2%), Nasdaq Composite (-0.1%), and DJIA (+0.2%) trading little changed just before midday.

Premarket indications following this morning's batch of earnings reports pointed to another tech-led rally, though the follow-through action has been more subdued. To be fair, the PHLX Semiconductor Index (+0.7%) is outperforming again, as a blowout earnings report from SK hynix Inc. (SKHY 162.50, +17.14, +11.79%) has supported gains in other memory and storage names. However, the action has been choppy, and the broader information technology sector (+0.2%) is little changed for the day amid a mostly lower showing for mega-cap stocks.

Strength is mixed, with six S&P 500 sectors trading higher. The health care sector (+0.9%) is the standout, supported by several notably strong post-earnings moves, while the energy sector (+0.7%) outperforms as crude oil rises $2.52 (+2.5%) to $102.42 per barrel amid mounting concerns about a potential escalation in the conflict with Iran following the midterm elections.

Higher oil prices and modestly higher Treasury yields are weighing on the real estate sector (-0.9%) and adding pressure to the consumer discretionary sector (-0.5%), which is also facing profit-taking in Tesla (TSLA 401.83, -5.63, -1.38%) following yesterday's rally.

Ultimately, today's subdued action reflects some caution ahead of this afternoon's FOMC meeting and a significant round of mega-cap earnings reports after the close.