Asian stock markets exhibited mixed results on Monday, with Brent crude oil prices remaining above $104 per barrel following U.S. President Donald Trump’s announcement of a plan to purchase Russian diesel. The proposal has sparked criticism from U.S. lawmakers amid ongoing efforts to curb Russia’s energy revenues during its conflict with Ukraine.
In the European markets, Germany’s DAX rose by 0.5% to 25,213.52, France’s CAC 40 gained 0.3% to 7,826.70, and the UK’s FTSE 100 advanced 0.5% to 10,602.21. Meanwhile, Asian markets presented varied trends; South Korea’s Kospi fell 3.7% to 6,384.24, while Hong Kong’s Hang Seng saw a slight increase of 0.3% to 24,271.20. Shanghai’s Composite Index declined 0.4% to 3,797.24, and Australia’s S&P/ASX 200 climbed 0.8% to 8,783.20. India’s Sensex dropped 0.8%, and markets in Tokyo were closed for a holiday.
Trump disclosed that the proposed agreement with Russian President Vladimir Putin would initially involve the supply of more than 300,000 tonnes of diesel, with additional shipments expected in the following months. The plan aims to alleviate fuel prices but is contentious due to Russia’s reliance on energy revenues to fund its war efforts in Ukraine. A bipartisan group of U.S. senators has urged the administration to reconsider its decision.
Trump also mentioned that Russia and Ukraine had agreed to an energy ceasefire, though the specifics remain unclear, and reports of further attacks on energy infrastructure have cast doubt on the agreement’s implementation.
Brent crude inched up 0.1% to $104.76 per barrel, whereas U.S. benchmark crude fell 0.4% to $91.50. Oil prices continue to be volatile, influenced by the uncertainty of the conflict with Iran and disruptions to global energy supplies.
In the U.S., stock futures edged higher after major Wall Street indexes ended the previous week with gains. Investors are closely watching upcoming U.S. inflation and retail sales data, along with quarterly earnings reports from major banks. Inflation concerns are mounting among U.S. consumers, with a University of Michigan survey indicating expectations for inflation to reach 4.7% over the coming year, up from 4.6% the previous month. Market watchers are also focused on corporate earnings as indicators of economic resilience despite high living costs and uncertainty.