Brent crude surpassed $90 a barrel for the first time in more than a month on Monday as the United States carried out a ninth consecutive night of strikes against Iran and the Islamic Revolutionary Guard Corps intercepted vessels in the Strait of Hormuz. West Texas Intermediate traded near $84 a barrel, while European natural gas rose nearly 5% in Amsterdam.
The energy rally weighed on equities. South Korea's Kospi index dropped between 3.5% and 5%, and European futures pointed to a softer open, with London, Frankfurt and Paris all trading in the red. Tokyo remained closed for a public holiday, though Hong Kong's Hang Seng gained 2.2% as Alibaba Group climbed 5.6% after releasing its Qwen3.8 Max AI model.
In political news, Andy Burnham is set to be named Britain's new prime minister on Monday. The European Central Bank meets Thursday, while Eurozone sovereign borrowing costs edged higher. In Italian corporate developments, Poste Italiane launched its bid for Telecom Italia, and the board of Banca Monte dei Paschi di Siena rejected Intesa Sanpaolo's offer while opening to Banco BPM.