NEW YORK — U.S. stocks were little changed on Friday as investors weighed higher oil prices and uncertainty over efforts to reopen the Strait of Hormuz, with the market coming off a record close for the S&P 500 and heading toward a third straight weekly gain.
The S&P 500 and Nasdaq Composite swung between small gains and losses in morning trading, while the Dow Jones Industrial Average edged lower. Energy stocks were among the strongest performers, with the S&P 500 energy index rising about 1.6%, while industrial and mining shares also advanced.
Investor attention remained focused on the Middle East after hopes for an agreement to restore commercial shipping through the Strait of Hormuz weakened. The waterway, a major route for global energy supplies, has seen shipping traffic fall sharply amid the conflict and heightened security risks.
Reuters reported that transit through the strait appeared close to a standstill after two additional ships were attacked. The United States has also said it could maintain a naval blockade of Iran indefinitely, adding to concerns over the duration of the disruption.
Oil prices rose as the uncertainty persisted. Brent crude was trading near $88 a barrel, while U.S. West Texas Intermediate crude was around $82, according to market data cited by Reuters. Higher energy prices can raise inflation risks and increase pressure on consumers and businesses.
The geopolitical concerns came alongside mixed U.S. economic signals. July retail sales rose less than economists had expected, while the University of Michigan's preliminary August consumer sentiment reading fell to 51 from expectations of 54.5, according to a Reuters poll.
Markets have also been reassessing the Federal Reserve's policy outlook after inflation data earlier in the week eased some concerns about renewed price pressures. Investors are watching economic data for clues about the central bank's next interest-rate decision.
Among individual stocks, Applied Materials fell about 4% despite forecasting fourth-quarter revenue above Wall Street expectations. Reddit jumped nearly 15% after it was selected for inclusion in the S&P 500, effective Aug. 18.
The market's latest moves followed a record close for the S&P 500 on Thursday, when investors responded to easing concerns about inflation and the outlook for interest rates.
As of Friday morning, the major indexes had not yet completed the trading session, leaving the final direction of Wall Street's close unconfirmed.
