Last Friday, stock indices ended slightly lower. The S&P 500 fell by 0.06%, while the Nasdaq 100 declined by 0.32%. The Dow Jones Industrial Average lost 0.11%.

Indices declined following the drop in US Treasuries, as rising oil prices revived inflation concerns ahead of key consumer price data due later this week. Australian and New Zealand bonds fell after the 10-year US yield rose by six basis points to 4.71% on Monday.

As noted above, the primary source of nervousness remains oil. Brent rose by 0.3% to $88 per barrel, marking its fifth consecutive day of gains, after US President Donald Trump put forward new broad demands on Iran, clouding the prospects for a deal to reopen the Strait of Hormuz. Trump sharply criticized Tehran's compensation demands in the context of conflict resolution talks, and signaled that he was prepared to let economic pressure on Iran build rather than launch new military strikes.

Gold fell to around $4,370 per ounce after rising above $4,400earlier in the session, driven by technical buying triggered by a break above the 100-day moving average on Monday. Asian markets are also struggling to find direction, as investors adopt a wait-and-see stance ahead of the next macroeconomic signal.

Sentiment in the tech sector, however, remains positive. South Korea's Kospi rose by 1%, with Samsung Electronics shares gaining approximately 4% to lead the gains. The broader MSCI Asia Pacific index added 0.1% after swinging between gains and losses.

In the currency market, the Japanese yen was again in focus. On Monday, it weakened by 1%, erasing roughly half of its recent gains from currency intervention, a psychologically significant development for traders remaining on alert for further official support. The Australian dollar weakened after the country's central bank kept rates unchanged, judging that rising unemployment and a softening property market would exert sufficient pressure on economic activity to curb inflation.

Cleveland Fed President Beth Hammack also weighed on equity markets with her remarks, noting that bringing inflation down to target may require a series of rate hikes. "I would say in general, one 25-basis-point move probably doesn't do a whole lot for the economy ," she said in an interview.

Turning to the S&P 500 technical analysis, buyers' main task today will be to overcome the nearest resistance level of $7,756. This would support gains and open the possibility of a push toward $7,774. Equally important for bulls will be maintaining control above $7,793, which would strengthen buyers' positions. In case of a downside move amid reduced risk appetite, buyers must defend the $7,737 area. A break below that level would quickly push the instrument back to $7,718 and open the path toward $7,698.