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Markets flat as oil holds above $100 on stalled US–Iran talks

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/media/GTN__1_MfN76fJ.webp © Markets flat as oil holds above $100 on stalled US–Iran talks

Global stock markets traded largely flat on Monday while oil prices rose above $100 per barrel, as stalled negotiations between the United States and Iran heightened concerns over supply disruptions. Brent crude increased 2.8% to around $108 per barrel, bringing its weekly gain to about 10%. US benchmark West Texas Intermediate rose 2.5% to approximately $96.7 per barrel.

The gains followed a lack of progress in the latest round of US–Iran talks over the weekend. The White House cancelled plans to send envoys for further negotiations, citing unresolved issues and continued uncertainty.

Geopolitical tensions have also disrupted shipping routes, with oil tankers avoiding the Strait of Hormuz, a key passage for global crude flows.

European equity markets showed limited movement, with the Euro Stoxx 50 and Stoxx 600 hovering near flat levels. The UK’s FTSE 100 and France’s CAC 40 edged lower, while Germany’s DAX and Italy’s FTSE MIB posted marginal gains.

US stock futures were slightly lower, with the Nasdaq remaining close to flat.

In Asia, markets were mixed. Japan’s Nikkei 225 rose sharply before easing, while South Korea’s Kospi gained more than 2%. Hong Kong’s Hang Seng declined slightly, and China’s Shanghai Composite recorded modest gains. Australia’s S&P/ASX 200 fell, while Taiwan’s Taiex advanced strongly.

Investors are also focusing on upcoming policy decisions from major central banks, including the European Central Bank, the US Federal Reserve and the Bank of England, all of which are expected to hold interest rates steady.

Currency markets saw the US dollar weaken slightly against the Japanese yen, while the euro edged higher against the dollar.

Markets remain sensitive to developments in the Middle East, with oil price movements and geopolitical tensions continuing to influence global financial conditions.

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