Light trading day, stocks little changed

U.S. stocks ended the day little changed in light trading, while the 10-year Treasury yield stalled just below 3 percent as investors assess the outlook for trade relations and tensions in the Middle East. Crude oil rose.

The S&P 500 Index eked out a small gain on volume 17 percent below the 30-day average. Technology indexes remained higher, boosted by President Donald Trump’s easing of tension in a trade spat with China. Oil pushed higher as the Gaza Strip erupted over the U.S.’s moving of its embassy to Jerusalem. Ratesensitive shares slumped as Treasury yields edged toward 3 percent. The dollar advanced versus a basket of major peers.

Trump’s shock move on China’s ZTE provided a sign that he may be open to easing trade tensions ahead of a meeting in Washington with Chinese officials this week. A slew of Federal Reserve officials speak in the five days, with investors looking for clues on the pace of monetary tightening. In Europe, political pressures remain high as Italian populists near completion of a government plan, Britain faces a crunch week over Brexit, and the U.S. formally moves its embassy to Jerusalem.

Elsewhere, oil traded near $71 a barrel as the United Arab Emirates said OPEC has enough spare production capacity to mitigate any impact on crude markets if the U.S. re-imposes sanctions on Iran. Earlier, most Asian markets advanced, and Malaysian stocks recovered from an early slide on the first trading day after last week’s unprecedented election result.