Brent crude futures rose 0.2% to $78.03 per barrel on Monday, as investor confidence in a potential US-Iran peace agreement waned.
The shift in geopolitical sentiment triggered a broad-based repricing of Middle East stability risks, with energy markets reacting to the prospect of prolonged regional tensions.
2%, signaling that the risk-off mood is extending beyond regional boundaries into US pre-market trading.
Equity markets reflected the growing caution.
MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.5%, while the Nikkei 225 dropped 0.6%, retracing some earlier losses.
S&P 500 e-mini futures also slipped 0.2%, signaling that the risk-off mood is extending beyond regional boundaries into US pre-market trading.
The market move comes as optimism surrounding a potential diplomatic breakthrough between the US and Iran evaporated.