U.S. stocks closed mixed on Friday, with investors putting the weekend on hold and an eye on ongoing Middle East peace talks.

A closely watched inflation report showed that consumer price growth accelerated as expected due to price pressures stemming from the war on Iran.

The Dow and S&P 500 ended lower, while tech stocks led the Nasdaq to extend gains in the session as investors assessed developing developments in the Middle East.

A fragile two-week ceasefire has been threatened by claims of ceasefire violations. This includes Israel’s continued bombing of Lebanon, with Israeli Prime Minister Benjamin Netanyahu saying he wants direct talks with Beirut.

The vital Strait of Hormuz was blocked by Iran, which demanded a cease-fire and unfreeze of assets in Lebanon as a condition for resuming negotiations.

The week began on an ominous note, with US President Donald Trump threatening to destroy an “entire civilization” if Iran failed to comply with his demands. But as the truce began to take shape, stocks rallied.

All three indices posted weekly gains.

“Traders are very reluctant to get exposure over the long weekend where the Iran-US talks are scheduled to take place,” said Jed Ellerbrock, portfolio manager at Argent Capital Management in St. Louis, Missouri. “Investors expect a lot of news and the market is closed for 2-1/2 days, a long time for things to change.”

“For that reason, this has been a recent trend over the last month and a half, where the market does well on Mondays, Tuesdays and Wednesdays, and it does poorly on Thursdays and Fridays,” Ellerbrock added.

The Labor Department’s Consumer Price Index (CPI), the first major inflation indicator released since the start of the war, showed that consumer prices posted their biggest monthly jump in nearly four years due to an expected increase in energy prices, leading to a 21.2% increase at the gasoline pump.

Core CPI, which strips out food and energy, was cooler than analysts expected. However, the shock of rising crude prices is likely to be felt more sharply in the coming months.

On Thursday, San Francisco Fed President Mary Daly told Reuters that oil shocks from the Iran war would extend the timeline for getting inflation back to the US central bank’s 2% target.

A separate report from the University of Michigan showed that consumer sentiment fell to a record low this month, while near-term expectations fell to their lowest level since May 1980.

According to preliminary data, the S&P 500 ended down 6.76 points, or 0.10%, at 6,817.90 points, while the Nasdaq Composite rose 78.64 points, or 0.35%, to close at 22,901.06. The Dow Jones Industrial Average was down 282.62 points, or 0.59%, at 47,903.18.

Chipmakers took the lead, touching record highs.

Financial stocks underperformed ahead of major US banks posting earnings next week, marking the unofficial start of the first-quarter reporting season. Analysts currently forecast year-over-year S&P 500 earnings growth of 13.9%, according to LSEG.

“Hopefully earnings season can turn at least some of the stories into corporate fundamentals, which is really what the stock market is about,” said Tim Gresky, senior portfolio strategist at Ingalls & Snyder in New York.

US-listed shares of Taiwan Semiconductor Manufacturing, the world’s largest contract chipmaker, rose after it beat first-quarter revenue forecasts.

Corewave’s increase follows the announcement of a multi-year agreement with Anthropic.