Stocks drift lower and oil prices ease ahead of planned US-Iran talks

Stocks drifted mostly lower on Wall Street and oil prices slipped Friday ahead of planned U.S.-Iran talks following a shaky ceasefire agreement.

The S&P 500 inched 0.1% lower after a day of choppy trading. The Dow Jones Industrial Average fell 0.6% and the Nasdaq composite rose 0.4%.

The major indexes each notched a weekly gain for the second week in a row. They have been gaining ground this month amid optimism that the war with Iran could be heading toward a resolution. High-level talks between negotiators from Iran and the U.S. are planned for Saturday in Pakistan.

The benchmark S&P 500 has erased most of its losses from March and is just 2.3% short of its all-time high set in January. The market is still prone to big swings on developments around the war.

Oil prices have been behind many of the stock market’s sharp movements. They've risen sharply as shipping through the vital Strait of Hormuz essentially stalled since the war began.

Brent crude oil, the international standard, has gone from roughly $70 per barrel before the war in late February to more than $119 at times. Brent for June delivery fell 0.8% to $95.20 per barrel Friday.

A barrel of U.S. crude oil for May delivery dropped 1.3% to $96.57.

The situation leading into the peace talks over the weekend remains uncertain. Iran’s semiofficial Tasnim news agency claimed that talks wouldn’t happen unless Israel stopped its attacks in Lebanon.

The conflict is behind surging inflation in the U.S. in March. The government reported the biggest spike in inflation in four years as prices at the gas pump jumped. The inflation increase was just short of what economists expected.

Bond yields rose a bit following the latest inflation update. The yield on the 10-year Treasury climbed to 4.32% from 4.29% late Thursday.

Inflation has been a lingering concern for economists. Prices on a range of consumer goods and services are already stubbornly high, in part from the impact of extensive global tariffs. Higher gas prices are immediately felt by drivers at the pump, but they could eventually raise prices on everything from food to airfare as companies pass along higher costs for shipping and fuel.

Analysts are warning that there might be a drawn out impact from the oil supply shock in the months ahead.

“While I’m glad to see the effects to be less than expected in March, the effects in April are now more likely to be worse,” Jamie Cox, managing partner for Harris Financial Group, wrote in a research note.

Consumer sentiment slumped 10.7% percent in April, according to a closely watched monthly survey from the University of Michigan. It also shows that consumers are growing more worried about inflation, with year-ahead expectations surging to 4.8% in April from 3.8% in March.

Inflation remains a major concern for the Federal Reserve, which has signaled more caution amid worries about inflation reheating. The rate of inflation remains above the central bank's 2% target. The threat of rising inflation will likely mean the central bank continues to hold interest rates steady. Several Fed officials have also said a rate hike may be needed if inflation doesn’t cool.

Lower interest rates help boost stocks and other investments by lowering borrowing costs. Interest rate cuts also risk worsening inflation.

Most companies in the S&P 500 lost ground Friday, with health care and financial company stocks driving much of the decline. Eli Lilly and Co. fell 1.6% and Charles Schwab closed 2.5% lower.

Technology stocks with hefty values helped offset losses elsewhere. Nvidia rose 2.6% and Broadcom rose 4.7%.

All told, the S&P 500 fell 7.77 points to 6,816.89. The Dow dropped 269.23 points to 47,916.57, and the Nasdaq gained 80.48 points to close at 22,902.89.

Markets in Asia gained ground while markets in Europe were mixed.

Bobby Charmak works on the floor at the New York Stock Exchange in New York, Tuesday, April 7, 2026. (AP Photo/Seth Wenig)

John Mauro works on the floor at the New York Stock Exchange in New York, Tuesday, April 7, 2026. (AP Photo/Seth Wenig)

Philip Finale works on the floor at the New York Stock Exchange in New York, Tuesday, April 7, 2026. (AP Photo/Seth Wenig)

Currency traders work near a screen showing the Korea Composite Stock Price Index (KOSPI), top center, and the foreign exchange rate between U.S. dollar and South Korean won, top center left, at the foreign exchange dealing room of the Hana Bank headquarters, in Seoul, South Korea, Friday, April 10, 2026. (AP Photo/Ahn Young-joon)

Currency traders work near a screen showing the Korea Composite Stock Price Index (KOSPI), top center, and the foreign exchange rate between U.S. dollar and South Korean won, top center left, at the foreign exchange dealing room of the Hana Bank headquarters, in Seoul, South Korea, Friday, April 10, 2026. (AP Photo/Ahn Young-joon)

A screen showing Asia markets indexes at the foreign exchange dealing room of the Hana Bank headquarters, in Seoul, South Korea, Friday, April 10, 2026. (AP Photo/Ahn Young-joon)

Currency traders stretch near a screen showing the Korea Composite Stock Price Index (KOSPI), right, and the foreign exchange rate between U.S. dollar and South Korean won at the foreign exchange dealing room of the Hana Bank headquarters, in Seoul, South Korea, Friday, April 10, 2026. (AP Photo/Ahn Young-joon)

Claude Lemieux’s brain is being donated to the Boston University CTE Center to research the long-term effects of repetitive brain injuries, his family said Saturday in a statement released by daughter Claudia Lemieux Bishop.

Lemieux died of suicide at age 60 on Thursday, according to authorities, after earlier in the week serving as the Montreal Canadiens' torchbearer prior to a playoff game. He played nearly 1,500 NHL games with six teams from 1983-2009 and was known for his hard-hitting style and ability to perform in big games on the way to winning the Stanley Cup four times.

The family said it gave the CTE Center permission to publicly share any findings with Lemieux's name, adding that no conclusions should be drawn regarding any diagnosis.

“Claude dedicated his post-playing career to helping the next generation,” the family said, referring to Lemieux becoming an agent. “By allowing his name to be connected to this research, we hope his life can contribute to greater understanding, more honest conversations and better protection for athletes and families in the years ahead.”

EDITOR’S NOTE — This story includes discussion of suicide. If you or someone you know needs help, the national suicide and crisis lifeline in the U.S. is available by calling or texting 988. There is also an online chat at 988lifeline.org

AP NHL: https://apnews.com/hub/nhl

FILE - Former Montreal Canadiens player Claude Lemieux holds a torch as he enters the arena before Game 3 of the NHL Eastern Conference final Stanley Cup playoff series between the Canadiens and Carolina Hurricanes, Monday, May 25, 2026, in Montreal. (Christinne Muschi/The Canadian Press via AP, File)

Players and spectators stand for a moment of silence for the late Claude Lemieux before the Everett Silvertips and Chicoutimi Sagueneens play the Memorial Cup semifinal hockey game in Kelowna, British Columbia, Friday, May 29, 2026. (Darryl Dyck/The Canadian Press via AP)

FILE - New Jersey Devils Claude Lemieux is greeted at the bench after scoring a goal in the first period of Game 3 of the NHL Stanley Cup Finals against the Detroit Redwings Thursday, June 22, 1995 at the Meadowlands in East Rutherford, N.J. (AP Photo/Bill Kostroun , File)