US open: Stocks lower as Middle East tensions remain in focus

(Sharecast News) - Wall Street trading got off to a mixed start on Thursday as market participants remained zeroed-in on Middle East developments.

As of 1430 GMT, the Dow Jones Industrial Average was up 0.07% at 46,462.34, while the S&P 500 shed 0.44% to 6,562.91, and the Nasdaq Composite came out of the gate 0.71% lower at 21,775.15.

The Dow opened 32.85 points higher on Thursday, narrowly extending gains recorded in the previous session as investors adopted a cautiously optimistic view that the US/Israel-Iran conflict might soon come to a close amid efforts by Washington to negotiate terms of a ceasefire.

The US/Israel-Iran conflict remained very much in focus early on Thursday after Iranian foreign minister Abbas Araghchi said senior officials were reviewing a US proposal to end the war, but reiterated that Tehran had no intention of entering into direct talks with Washington. Iranian media had previously reported that Tehran would reject a 15-point US ceasefire proposal and instead put forward its own fivepoint plan, which includes granting Iran control over the Strait of Hormuz.

Donald Trump later warned Iran that it "better get serious soon, before it is too late", adding that "there is no turning back" if the situation escalates. He also described Iranian negotiators as "very different" and "strange", claiming they were "begging" the US to reach a deal to end the fourweek conflict.

Separately, Gulf states issued a joint statement on Thursday condemning Iran's "criminal" strikes on regional energy infrastructure and said they were prepared to defend themselves. They also urged the Iraqi government to take immediate steps to halt attacks launched from its territory toward neighbouring countries.

Oil prices were higher at the open, with benchmark Brent crude up 5.13% at $107.46 per barrel and West Texas Intermediate 4.37% higher at $94.27 a barrel.

On the macro front, Americans lined up for unemployment benefits at an accelerated pace in the week ended 21 March, according to the Labor Department, contrasting with weak signals seen in February's jobs report. Initial jobless claims rose by 5,000 week-on-week to 210,000, in line with market expectations, while continuing claims fell by 32,000 to 1.819m, well below expectations for a reading of 1.85m.

The four-week moving average, which aims to strip out week-to-week volatility, came in at 210,500, down by 250 from the previous week's unrevised average of 210,750. Meanwhile, the advance seasonally adjusted insured unemployment rate was 1.2% for the week ended 14 March, unchanged from the prior week's unrevised rate.

Still to come, the Kansas Federal Reserve's March manufacturing activity index was slated for release at 1500 GMT.

No major corporate earnings were slated for release on Thursday.

Reporting by Iain Gilbert at Sharecast.com