(RTTNews) - Indian shares may open flat to slightly lower on Monday despite gains elsewhere across Asia and higher U.S. equity futures as oil prices fell for a fourth day amid ongoing diplomatic efforts to end the U.S.-Iran conflict.
India said it has 'made clear' its determination to 'protect its trade and economic interests' after U.S. President Donald Trump signed a Russia sanctions law that authorizes tariffs on countries buying Russian oil and gas.
Brent crude futures fell nearly 2 percent below $102 a barrel ahead of a crucial meeting this week between U.S. President Trump and Gulf-state leaders on the sidelines of the United Nations General Assembly.
Ahead of the talks, Trump warned Iran that it would fail economically or face its leadership being wiped out if it didn't make a deal.
Trump indicated potential for a meeting with Iranian President Masoud Pezeshkian in New York, adding that very big things could happen soon and he is in a "deciding mode" on military action, continued economic pressure or a deal. U.S. Central Command chief Brad Cooper announced that energy traffic through the Strait of Hormuz reached a six-month high over the past two weeks and that American forces have helped 1 billion barrels of oil leave the Arabian Gulf in the last couple of months.
The U.S. Virtual Embassy in Iran urged Americans to leave immediately, warning of flight cancellations and airspace closures.
Iran said it sent conditions to Washington through Qatar for ending the war and vowed to retaliate harshly to any fresh attacks. Saudi Arabia on Saturday confirmed that Yemen's Houthi rebels tried to attack its capital with a ballistic missile, the first strike targeting Riyadh since the new conflict began.
Asian markets were broadly higher this morning as investors await a planned meeting between Trump and Chinese President Xi Jinping this week for signs of progress in trade discussions.
Ahead of the summit, U.S. Treasury chief Scott Bessent called trade and AI talks with China very successful.
The dollar index held steady in early Asian trade while gold was a tad lower at $4,368 an ounce due to expectations for additional Fed rate hikes.
U.S. stocks ended mixed on Friday as oil prices swung, a measure of industrial production unexpectedly held steady in August, and benchmark Treasury yields topped 5 percent amid uncertainty over the Federal Reserve's rate path.
The tech-heavy Nasdaq Composite rose 0.4 percent and the S&P 500 edged up 0.2 percent while the narrower Dow slipped 0.2 percent.
European stocks fell sharply on Friday at the end of a week dominated by central bank moves to restore price stability.
The pan-European STOXX 600 fell 1.1 percent. The German DAX tumbled 1.6 percent, while France's CAC 40 and the U.K.'s FTSE 100 both slumped 1.5 percent.