US equity indexes were mixed ahead of Monday's close as Iran reportedly approved a plan to impose tolls on vessels passing the Strait of Hormuz, and technology shares slumped.
Meanwhile, President Donald Trump warned Iran of dire consequences if it fails to reach a ceasefire agreement with his negotiating team.
The Dow Jones Industrial Average rose 0.1% to 45,207.2. The S&P 500 fell 0.5% to 6,337.1, after trading higher earlier in the session. The Nasdaq Composite declined 0.8% to 20,772.9. Technology and industrials led the decliners.
The Iranian Parliament's Security Commission has approved a plan to impose tolls in the Strait of Hormuz, hours after Donald Trump issued a new blistering threat to the country, the Express reported, citing Iranian news agency Fars, often described as close to the Islamic Revolutionary Guard Corps.
On Monday, a member of the National Security Commission announced the plan had been given the go-ahead, the news report said, adding that the plan prohibits the passage of US and Israeli vessels.
This follows President Donald Trump's warning to Iran that the US may blow up and completely obliterate Tehran's electric plants and oil wells if a deal to end the war is not reached and the Strait of Hormuz is not reopened. Iran contradicted Trump's claims that Tehran had agreed to "most of" the 15-point list of demands put forward by the US to end the war, describing the proposal as "unrealistic."
Trump also reported, in an interview with the Financial Times, that the US could "very easily" control Kharg Island, the location of a vast majority of Tehran's crude oil exports, and "take the oil in Iran".
West Texas Intermediate crude oil futures jumped 4.3% to $103.89. Brent crude futures rose 1.2% to $113.92.
Micron Technology (MU) shares sank 9.7%, among the worst performers on the Nasdaq and the S&P 500.
Comments