* Indexes: Dow down 0.47%, S&P 500 down 0.09%, Nasdaq up

0.11%

* FedEx ( FDX ), UPS dip after Amazon ( AMZN ) opens up its logistics

network

* Ebay ( EBAY ) rises after GameStop's ( GME ) buyout bid

(Updates after market open)

By Niket Nishant and Utkarsh Hathi

May 4 (Reuters) - The benchmark S&P 500 and the

blue-chip Dow edged down on Monday asinvestors weighed

heightened anxiety over the Middle East conflict against the

optimism from last week's earnings.

Conflicting reports about a U.S. warship near the Strait of

Hormuz dampened market sentiment in a turbulent start to the

week.

Tehran said it had forced a U.S. warship to turn back after

it attempted to enter the Strait of Hormuz. Iran's semi-official

Fars news agency said two missiles had hit the warship, but the

United States denied the report.

The confusion was enough for investors to pause following a

strong run of earnings last week, as they assessed the

aggressive rhetoric between Washington and Tehran and the risk

of renewed escalation.

"I don't believe that the markets have properly priced in

the long-term risks that are going to come," said Mark Malek,

chief investment ​officer at Siebert Financial.

"There are going to be more shoes to drop. And you're going

to see it in future earnings," he said, referring to the risk

from higher oil prices.

The conflict, now in its third month, has continued to weigh

on the global economy as oil prices stay elevated. Brent crude

futures rose 2.2% on Monday and are trading above $110 a

barrel.

At 09:42 a.m. ET, the Dow Jones Industrial Average

fell 230.93 points, or 0.47%, to 49,268.34, the S&P 500

lost 6.48 points, or 0.09%, to 7,223.64, and the Nasdaq

Composite gained 26.87 points, or 0.11%, to 25,141.31.

Nine of the 11 main S&P sectors were in the red, with the

S&P 500 energy sector leading losses with a 0.7%

decline.

The CBOE Volatility Index, known as Wall Street's

"fear gauge", was up 0.57 points at 17.56.

May is also historically the start of a weaker six-month

stretch for stocks. Since 1945 through April 2026, the S&P 500

has gained an average of about 2% from May to October, according

to data from Fidelity. That compares with an average gain of

about 7% from November through April.

"Seasonal patterns can offer useful historical perspective,

but they aren't always a reliable guide for what lies ahead,"

said Adam Turnquist, chief technical strategist at LPL

Financial.

"An easing of tensions in the Middle East and a pullback in

oil prices could provide ongoing support for equities,

especially if earnings remain resilient."

Meanwhile, Berkshire Hathaway ( BRK/A ) reported on Saturday

that it was a net seller of stocks for the 14th consecutive

quarter. The conglomerate, often viewed as a bellwether of the

U.S. economy, is closely watched for its insight into valuations

and broader market conditions.

Separately, shares of GameStop ( GME ) dipped 2.4% while

eBay ( EBAY ) rose 5.5% after the video game retailer unveiled a

proposal to buy eBay ( EBAY ) for about $56 billion in a

cash-and-stock deal.

Shares of logistics firms FedEx ( FDX ) and United Parcel

Service ( UPS ) fell 6.5% and 7%, respectively, after Amazon.com ( AMZN )

said on Monday it was rolling out "Amazon Supply Chain

Services", opening up its logistics network for other businesses

to use.

Cruise operator Norwegian dropped 7.7% after

slashing its annual forecast due to higher fuel costs.

Declining issues outnumbered advancers by a 1.94-to-1 ratio

on the NYSE and by a 1.1-to-1 ratio on the Nasdaq.

The S&P 500 posted 19 new 52-week highs and 13 new

lows, while the Nasdaq Composite recorded 74 new

highs and 31 new lows.