US stock market edges lower on chip profit-taking and Iran oil framework; S&P 500 down 0.07% ahead of PCE inflation data Thursday

The S&P 500 slipped 0.07% to 7,513.54 while Nasdaq Composite fell 0.12% to 26,623.4. Nvidia dropped 1.93%, Qualcomm crashed 7.84%, and Intel fell 3.40% as investors rotated out of the chip sector after yesterday's Micron-led rally. Energy fell 1.17%, the worst sector, after West Texas Intermediate crude fell 5.7% to $88.53 per barrel following reports of a US-Iran framework on the Strait of Hormuz.

Iran agreed to restore commercial shipping through the Strait of Hormuz to pre-war levels within 30 days according to reports; the White House later called the reported framework "completely fabricated" and Trump stated "NO AGREEMENT" has been reached. The framework discussion reduced the geopolitical premium propping up energy producers since February.

Investors are positioning ahead of Thursday's 8:30 AM ET release of the Personal Consumption Expenditures (PCE) Price Index (the Federal Reserve's preferred inflation gauge) and Q1 earnings from Marvell, Salesforce, and Snowflake tonight, followed by Dell Technologies on Thursday evening with $35.2 billion in expected Q1 revenue including $13 billion of AI server sales.