Global equities edged lower on Monday as investors weighed rising geopolitical tensions and prepared for key corporate and central bank events this week. Nasdaq 100 futures declined 0.6%, while S&P 500 futures slipped 0.2%, reflecting cautious sentiment ahead of Nvidia’s earnings report due on Wednesday.
Oil prices also retreated, with Brent crude futures falling 1.5% to $93.16 per barrel and U.S. West Texas Intermediate crude down 1.6% at $85.70. Both benchmarks had gained more than 5% the prior week, marking their second consecutive weekly advance. The pullback follows reports that the U.S. is preparing a stringent new sanctions package targeting Iran, with Treasury Secretary Scott Bessent warning that Washington is entering an "endgame" against Tehran. Bessent also cautioned that countries supporting Iran risk becoming "global pariahs."
The Strait of Hormuz, through which roughly one-fifth of global oil supply typically transits, remains a focal point amid escalating tensions. The geopolitical backdrop adds pressure to energy markets as investors monitor developments in Washington and Tehran.
In corporate news, Nvidia’s upcoming earnings report is drawing particular attention, with some of the company’s largest customers expected to face price increases of more than 15% for AI server systems shipping early next year. The chipmaker’s stock closed at $214.72 on Friday, down 0.98%.
Federal Reserve Chair Kevin Warsh is scheduled to deliver a speech at the Jackson Hole Economic Symposium on Friday, where markets will seek signals on the central bank’s policy trajectory. The week’s events—spanning corporate earnings, geopolitical developments, and monetary policy commentary—are likely to drive volatility across equities and commodities.
