The S&P 500 was relatively unchanged on Thursday, while the Nasdaq Composite pulled back as traders kept an eye on the Middle East, with a deal to reopen the key Strait of Hormuz in the works. Wall Street also weighed a slew of corporate earnings releases.

The broad market index traded just above the flatline, while the tech-heavy Nasdaq was 0.3% lower. The Dow Jones Industrial Average added 100 points, or 0.2%.

Data storage companies tumbled in morning trading on Thursday after quarterly results from Sandisk and Western Digital failed to sustain momentum in an industry that has become one ​of Wall Street's hottest bets this year.

SanDisk Corp. down 12%, while Western Digital down 20% in morning trading on Thursday.

After the closing bell on Wednesday, both Sandisk and Western Digital forecast quarterly revenue that beat estimates compiled by LSEG, but fell short ​of high market expectations. The reaction underscores the high bar set for the market's AI ​favorites after stellar gains this year, with even strong earnings and upbeat forecasts ⁠failing to satisfy investors.