U.S. stocks eased from record territory on Monday as a rise in oil and weakness in chip shares interrupted the rally. The Nasdaq Composite IXIC fell 0.3%, or 85 points, to 26,605.36, with market breadth soft as more Nasdaq stocks declined than advanced. Nvidia dropped 2.9% after unveiling partnerships tied to $500 billion in AI-infrastructure financing, while Microsoft rose 1.2%. Intel fell 4.1% after saying it planned to sell up to $15 billion in shares, a move that would cause dilution (an increase in share count that reduces existing ownership percentages). The S&P 500 dipped 0.1% to 7,753.11, the Dow lost 61 points, or 0.1%, to 53,975.98, and the Russell 2000 declined 0.6%, showing greater pressure on smaller companies. Crude rose roughly 5% to more than $82 a barrel as optimism about a quick reopening of the Strait of Hormuz faded, with Iran demanding U.S. concessions while Washington and Tehran exchanged compensation claims. Higher oil prices risk reviving inflation and could give the Federal Reserve another reason to raise rates, a particular concern for technology shares because higher rates reduce the present value of future earnings through discounting (valuing future cash flows in today’s dollars). Even so, the setback followed a record S&P 500 close driven by soft jobs data and strong earnings. Berkshire Hathaway advanced after posting higher operating profit and putting cash to work, JPMorgan lifted its year-end S&P 500 target to 8,000 from 7,800 on stronger profits and improving returns from AI spending, and about 85% of reporting index members have beaten estimates. Traders now face an inflation test: a cool reading could revive hopes that July job losses will keep the Fed sidelined, while a hot print, especially alongside elevated oil, would challenge the market view that weaker growth and easier policy can keep lifting stocks.