Major indices are mostly moving lower, and remain trapped below their baseline, as investors assess the ongoing Iranian negotiations and higher yields.

Seven sectors are higher, with Energy (XLE) in the lead as oil prices continue to move above the $100 level on continued Iranian ceasefire tensions (more below). Meanwhile, Financials (XLF) is the runner up, in a broad move, but with notable strength in the financial data and insurance niches. Meanwhile, Technology (XLK) is lagging and led lower by semiconductor and hardware names, while software names catch a bid. Industrials (XLI) are the second worst performer with weakness in power and construction names as elevated rates put pressure on the space.

Notably, while the Ten Year Treasury Yield (TNX) is flat today, it remains elevated above the 4.5% level following last week’s move in inflation data.

On the Iran front, following Trump’s calls for Iran to speed up negotiations, Iranian leadership has delivered a revised proposal, that has been reportedly rejected. This also comes as Pakistan starts deploying troops and fighter jets in Saudi Arabia, as the two countries have long been allied and signed a mutual defense agreement in late 2025.

On the AI front, Amazon’s (AMZN) Alexa+ is now capable of generating entire podcasts.

The New York Fed’s Services Index rose 8.2 points to -5.8 in May, the highest reading since January 2025.