Wall Street Flat as Mideast Talks and Chip Pullback Weigh

U.S. stocks were little changed on Wednesday, May 27, 2026, as investors watched for progress in Middle East talks and weighed a pullback in chipmakers after a strong rally. The Dow Jones Industrial Average rose 0.42% to 50,674.30, supported by gains in healthcare and consumer stocks. The S&P 500 slipped 0.05% to 7,515.45, while the Nasdaq Composite fell 0.15% to 26,616.86.

Major indexes remained near record highs, but trading was choppy as markets assessed geopolitical headlines alongside sector rotation. The White House denied reports carried by Iran’s state TV that said Tehran would restore Strait of Hormuz shipping within a month in exchange for a U.S. military pullback and the lifting of a naval blockade.

Seven of the 11 main S&P 500 sectors were in positive territory. Consumer discretionary led gains, up almost 2%, and healthcare rose 0.7%. Consumer staples added 1.5%.

Energy was among the weakest groups, with the S&P 500 energy index down 1.2% as oil prices fell as much as 5%. Technology shares shed 1% after reaching an all-time high on Tuesday.

Semiconductors slide after recent rally

Chip stocks weighed on the Nasdaq. Intel and Marvell Technology fell more than 4% each, and Qualcomm dropped 9.2%. The Philadelphia SE Semiconductor index declined 2.7%, while Nvidia was down 2.3%.

Other single-stock moves added to the mixed tone. Cloud security firm Zscaler tumbled 31% after forecasting fourth-quarter revenue below expectations.

Earnings and corporate updates drive big moves

JPMorgan shares fell 3.3% after CEO Jamie Dimon said expenses for the year could be $1 billion higher than earlier estimates, weighing on the financials sector. Bath & Body Works climbed 12.3% and Abercrombie and Fitch rose 11.3% after reporting strong quarterly results.

Investors will keep watching for further developments in the Middle East talks and for additional corporate forecasts that could shift sector leadership.