Stock Market Update

[BRIEFING.COM] Stocks are mostly lower today as the likelihood of the U.S. and Iran reaching a ceasefire agreement before tonight's self-imposed deadline becomes increasingly unlikely. The S&P 500 (-0.9%), Nasdaq Composite (-1.3%), and DJIA (-0.8%) quickly ceded all of yesterday's strength and then some, while the Russell 2000 (-0.9%) and S&P Mid Cap 400 (-0.3%) are also lower. 

The Wall Street Journal reported that Iran has cut off all direct communications with Iran, though mediated discussions are still taking place. However, CNBC reported that a senior Pakistani official who is close to the negotiations between the U.S. and Iran has said, "There is no hope anything will be confirmed today."

Meanwhile, President Trump has ratcheted up his rhetoric, threatening "A whole civilization will die tonight" if a deal is not struck.

Oil prices have steadily climbed today, with crude oil currently up $4.00 (+3.5%) to $116.41 per barrel. The energy sector (+1.3%) holds a nice gain as a result, but the utilities sector (+0.3%) is the only other S&P 500 sector that trades higher.

Meanwhile, losses are most acute across some of the weightiest sectors, including the consumer discretionary (-2.1%) and information technology (-1.5%) sectors as mega-cap stocks lag today.

Escalating geopolitical tensions remain a key overhang. While tonight's deadline is self-imposed, it signals the risk of further escalation—an outcome that could keep oil prices elevated for longer and continue to pressure equities.