Markets Tread Water Amid U.S.-Iran Tensions

Equities recorded modest gains on Monday, while oil prices declined amid unstable market conditions as investors awaited potential outcomes in the U.S.-Iran negotiations aimed at resolving their conflict.

Market activity was influenced by reported discussions about a possible 45-day ceasefire that could pave the way for a permanent resolution, though resistance from Iran has complicated matters. President Trump has issued stern warnings, exacerbating market anxieties.

Meanwhile, economic data painted a mixed picture, with slowed growth in the services sector and rising inflation pressures, leaving investors cautious, all whilst awaiting central bank decisions impacted by geopolitical uncertainties.