Stock Market Update

[BRIEFING.COM] Stocks are mixed early in the afternoon, with the DJIA (+0.4%) notching a new all-time intraday high as broader market participation remains strong amid falling oil prices, while weakness across technology keeps the S&P 500 (-0.1%) and Nasdaq Composite (-0.1%) near their baselines.

Semiconductor names are off their worst levels of the session, though the PHLX Semiconductor Index is still down 2.0% following yesterday's rally. Qualcomm (QCOM 228.77, -20.05, -8.06%) is a laggard, and NVIDIA (NVDA 211.53, -3.33, -1.55%) extends its post-earnings skid, but memory names such as Micron (MU 907.22, +11.34, +1.27%) and Seagate Tech (STX 870.76, +25.00, +2.96%) continue to move higher.

The top-weighted information technology sector (-0.7%) remains lower for the day, though it is considerably improved from earlier levels.

Other laggards include the financials (-1.0%) and utilities (-0.5%) sectors, while the energy sector (-1.1%) is pressured by lower oil prices.

Crude oil is currently down $4.10 (-4.4%) to $89.79 per barrel. The White House denied reports from Iranian state media suggesting the two sides are close to finalizing a memorandum of understanding that would restore traffic through the Strait of Hormuz, though Secretary of State Marco Rubio said during a cabinet meeting that some progress has been made toward a peace agreement.

Oil- and rate-sensitive groups such as airlines, cruise lines, and homebuilders are outperforming as a result, contributing to the consumer discretionary sector's (+2.1%) leadership.

Elsewhere in the sector, MGM Resorts (MGM 42.23, +3.78, +9.83%) is among the best-performing S&P 500 components after JPMorgan upgraded the stock to Overweight from Neutral with a $46 target price, while Truist upgraded the stock to Buy from Hold with a $55 target price.

The consumer staples sector (+1.3%) is another outperformer as investors do some bargain hunting following yesterday's relatively sharp retreat.

Outside of the S&P 500, the Russell 2000 (+0.2%) traded to a new all-time high, while the S&P Mid Cap 400 (-0.1%) is modestly lower.

For now, the market continues to show healthy participation beneath the surface even as technology stocks pause following recent strength. Falling oil prices and easing geopolitical concerns are helping support rotation into more economically sensitive areas of the market.

Reviewing today's data:

• The MBA Mortgage Applications Index for the week ended May 23 decreased 8.5% from a prior decrease of 2.3%