Wall Street Ends Mixed as Mideast Peace Deal Uncertainty Weighs on Markets

U.S. stocks were subdued on Tuesday as investors weighed uncertainty around Middle East peace talks, even as company-specific earnings reactions drove some of the day’s biggest moves.

Reuters reported that Wall Street traded in choppy fashion as traders waited for more clarity on the talks. Earlier in the session, stocks had opened higher on optimism tied to artificial intelligence and hopes for a truce, but the broader tone later softened.

Bath & Body Works was among the notable gainers after reporting first-quarter results that exceeded guidance. Reuters said the retailer’s shares rose in premarket trading after the report.

Zscaler moved in the opposite direction after its fiscal third-quarter results. Reuters said the cybersecurity company fell after projecting weaker-than-expected fourth-quarter revenue, even though it also reported results and gave a full-year outlook.

The session left the market caught between geopolitics and earnings. Investors were still watching for any concrete development from Middle East negotiations, while the next leg for some of the day’s stock moves will depend on whether the earnings reactions hold into later trading.