Brent tops $90 a barrel as tensions increase in the Middle East

Oil prices climbed on Monday as escalating military tensions between the United States and Iran increased fears of supply disruptions through the Strait of Hormuz. Brent crude rose more than 2.5% to above $90 per barrel, while WTI gained over 2% to around $84.50, following another round of U.S. strikes on Iranian targets.

U.S. stock futures were mixed on Monday after all three major indexes posted weekly losses, as escalating tensions between the U.S. and Iran weighed on investor sentiment while pushing oil prices higher. S&P 500 and Nasdaq futures edged higher, but Dow futures were little changed. Asian markets were mixed, with South Korea declining while Australia posted modest gains.

Markets remain focused on the Middle East conflict. Investors are also preparing for a busy earnings week, with results from Alphabet, Tesla, and Intel expected,

Gold rebounded from an intraday low near $3,983 on Monday, supported by a slightly weaker U.S. dollar after bouncing from its monthly low on Friday. However, gains remain limited as escalating tensions between the U.S. and Iran, along with expectations of higher U.S. interest rates, continue to support the dollar and weigh on the non-yielding precious metal.

With no major U.S. economic data due on Monday, traders will focus on comments from Fed officials and developments in the Middle East for direction in gold prices.