Wall Street Holds Steady as Oil Rises Ahead of Earnings

US stocks traded mostly unchanged Monday as the S&P 500, Dow Jones Industrial Average and Nasdaq Composite reacted to higher oil prices, Middle East tensions, and expectations for major corporate earnings and inflation data this week.

According to CNBC, the S&P 500 slipped 0.1% during trading while the Dow gained 269 points or 0.5%, and the Nasdaq fell 0.3%. Yahoo Finance reported the Dow rose 0.3% and the S&P 500 added 0.1% in morning trading.

Oil prices advanced after President Donald Trump announced an "energy ceasefire" between Russia and Ukraine, while later developments raised concerns about renewed conflict. Brent crude traded near $106 per barrel and West Texas Intermediate futures reached about $93 per barrel, according to CNBC and Yahoo Finance.

CNBC reported that shipping stocks reached record levels as higher oil transportation costs added "premiums" to crude prices amid continued regional tensions.

Investors are focused on third quarter results, with major banks including JPMorgan Chase, Goldman Sachs, Citigroup, Bank of America, Morgan Stanley and Wells Fargo scheduled to report. FactSet's John Butters projected S&P 500 earnings growth of 29.6% for the quarter.

Brian Leonard, portfolio manager of Keeley Gabelli Small Cap Dividend Fund, said investors are evaluating whether companies can handle higher costs.

"Investors have kind of narrowed in on some of the important aspects," said Brian Leonard, portfolio manager of Keeley Gabelli Small Cap Dividend Fund.

Leonard also addressed the ability of businesses to maintain performance as economic conditions change.

"Can this company withstand what's happening? Pass along, continue to grow margins, and the future is going to be better than the most recent past." said Brian Leonard, portfolio manager of Keeley Gabelli Small Cap Dividend Fund.

Salesforce shares rose after Bank of America upgraded the stock, while Micron declined following reports of advances by China's ChangXin Memory Technologies in memory chip development.

Salesforce also faced attention after a spokesperson from Starbucks addressed speculation about a possible acquisition of Chipotle Mexican Grill.

"not buying Chipotle" said a Starbucks spokesperson, according to CNBC.

Bank of America analyst Tal Liani said artificial intelligence could reinforce demand for established software platforms used by large companies.

"Large enterprises (more than [small to medium-sized businesses] are unlikely to replace platforms that house their business logic, data, workflows and compliance frameworks," said Tal Liani, Bank of America analyst.

"If anything, AI should deepen dependence on these platforms." said Tal Liani, Bank of America analyst.

The S&P 500 also marked four years since the beginning of its bull market after reaching a closing low of 3,577.03 in October 2022. The index has more than doubled since that point, according to CNBC.