01:23 PM EDT, 08/12/2024 (MT Newswires) -- US equity indexes traded mixed while most government bond yields slid in choppy midday trading on Monday in the shadow of inflation data due mid-week.

The Nasdaq Composite climbed 0.5% to 16,828.6, with the S&P 500 up 0.2% to 5,356.1. Both indexes were trading lower earlier in the session. The Dow Jones Industrial Average slipped 0.3% to 39,392.4. All sectors were in the red except energy and technology.

Most Treasury yields fell, with the 10-year down 2.1 basis points to 3.92% and the two-year rate 1.3 basis points lower at 4.04%.

In economic news, consumer expectations for one year of US inflation growth were unchanged in July from a 3% gain in June, according to a survey released by the New York Federal Reserve Bank on Monday.

US equity investors will look out this week for the producer and consumer price inflation data on Tuesday and Wednesday, respectively, to confirm the disinflation trajectory after the July nonfarm payrolls sparked concern the Federal Reserve could be behind the curve in easing monetary policy.

"While employment gains have clearly slowed from earlier peak levels, labor market metrics remain solid," according to a Stifel report. "This is potentially a reflection of normalizing conditions as opposed to an early warning sign of an ensuing collapse in employment."

As of Monday afternoon, the probability of a 25 or 50 basis-point Fed interest-rate cut on Sept. 18 was 55% and 45%, respectively, according to the CME Group's FedWatch Tool.

West Texas Intermediate crude oil advanced 2.5% to $78.73 a barrel.

"The deterioration in diplomatic language, belligerent military action from Israel in a quarter of its compass zone coupled with stories of stealth missiles in Iran's arsenal and this morning's news of the US sending a missile laden submarine to the area should rightly be viewed with a worried gaze. Israel is also now expecting an attack from Iran this week," PVM Oil Associates said in a note.

In company news, KeyCorp ( KEY ) secured a $2.8 billion investment from the Bank of Nova Scotia ( BNS ) in return for a minority stake. KeyCorp ( KEY ) shares soared nearly 11% intraday, the top gainer on the S&P 500.

Gold jumped 1.1% to $2,499.61 an ounce, and silver climbed 1.3% to $27.95.