U.S. equities closed mixed with the S&P 500 staying above 7,400 while technology shares lagged as investors braced for upcoming earnings and a Federal Reserve decision.

US markets closed higher as a surge in semiconductor shares countered concerns over Middle East tensions and Canadian trade tariffs. Investors are now shifting focus toward critical upcoming quarterly earnings reports.

Major U.S. banks are preparing to release second-quarter performance figures, leading traders to brace for potential volatility across the sector. Options markets indicate varying levels of anticipated price movement for financial institutions including JPMorgan Chase and Wells Fargo.