Dow Jones ends rangebound session near day's high as markets remain in wait-and-watch mode

Benchmark indices on Wall Street began trading after the long weekend on a positive note, ending near the highest point of the day, even as the session saw trading in a narrow range. Insurance stocks surged in late trading.

Markets continue to remain in wait-and-watch mode ahead of US President Donald Trump's deadline for reaching a deal with Iran nears and both sides exchanging messages through mediators, but with no concrete outcome.

The Dow Jones ended the session with gains of 165 points, having traded in a 350-point range through the session. The S&P 500 ended with gains of 0.4%, while the Nasdaq Composite advanced 0.5% by the close of Monday's trade.

Most of the other asset classes barely budged, with the US Dollar index remaining at 100, no significant price action seen in gold and silver, while crude oil prices continued to hover between the $110 to $112 a barrel mark, having recovered the initial losses on reports of a potential ceasefire.

Trump told reporters at the White House on Monday that the proposal made by Iran is a significant step but not good enough. He also reiterated his 8 PM Eastern Time deadline for Tuesday, if the Strait of Hormuz is not reopened and a deal is not reached with Iran.

"We have a plan, because of the power of our military, where every bridge in Iran will be decimated by 12 o’clock tomorrow night, where every power plant in Iran will be out of business, burning, exploding, and never to be used again," the US President told reporters.

In macro data reported, growth in US Services slowed compared to February as the prices paid for services and materials jumped to the highest since October 2022. The Services PMI figure for March stood at 54 from 56.1 in February, while the employment gauge at services providers fell to 45.2, registering the biggest monthly drop since the start of the pandemic.

While the deadline for the Iran deal nears, the US will see data for durable goods, consumer credit and an earnings report from Levi Strauss later today.