The Dow Jones Industrial Average gained 140.15 points, or 0.26%, to 53,417.16, the S&P 500 shed 21.51 points, or 0.28%, to ​7,652.86, and the Nasdaq Composite slipped 200.26 points, or 0.76%, to 25,980.19

The S&P 500 and Nasdaq closed lower on Monday, pulled down by technology stocks, as investors weighed latest U.S. economic developments against Iran and ‌braced for a week that includes Nvidia earnings and a closely watched inflation report.

The U.S. announced on Monday a possible expansion of sanctions on countries doing business with Iran, but stopped short of actually imposing penalties.

The Dow Jones Industrial Average gained 140.15 points, or 0.26%, to 53,417.16, the S&P 500 shed 21.51 points, or 0.28%, to ​7,652.86, and the Nasdaq Composite slipped 200.26 points, or 0.76%, to 25,980.19.

Chip stocks sold off, dragging the Philadelphia SE Semiconductor index lower. Nvidia declined 2.9%, Micron Technology dropped 5.8% and Broadcom slipped 2.6%, pressuring the S&P 500 Information Technology index.

Sentiment for ​technology firms was also hit by growing political opposition to AI data centres.

Texas Governor Greg Abbott delivered one of the starkest warnings yet from a ​Republican to the AI industry, saying data centre companies “dug their own grave” and deserve the backlash they’re facing after failing to win ⁠community support, Axios reported on Sunday.

This month, Abbott ordered a pause on approvals of new data centre projects through the state’s grid interconnection process, citing concerns that a ​surge in electricity demand could threaten reliability at a time when opposition to the projects is growing.

The bigger worry we have is the hawkish rhetoric we’re starting to hear ​from politicians on AI and data centres, said Ohsung Kwon, chief equity strategist at Wells Fargo. We’ve been highlighting that as a big risk heading into the midterms.

Financials, however, gained, with JPMorgan Chase up 1.4% and Visa up 3%. They also kept the blue-chip Dow afloat.