LONDON: Oil prices rose, and stock markets mostly retreated on Monday as peace talks between the US and Iran stalled, ahead of a week full of central bank decisions and corporate earnings.

Both main international oil contracts were up around three per cent, with Brent crude rising to near $109 a barrel as the crucial Strait of Hormuz waterway remained largely closed, though lingering hopes that a deal could eventually be reached tempered gains.

Equity investors were cautious, with Wall Street’s main indices down in late morning trading.

Europe’s main markets also ended the day lower, while Asian stocks were mixed. “It may be that hopes of a diplomatic breakthrough were pretty faint to start with, and markets are now in wait-and-see territory ahead of a heavy week of earnings and economic touchpoints,” said Derren Nathan, head of equity research at Hargreaves Lansdown.

With energy prices remaining high, the US Federal Reserve is expected to keep rates steady on Wednesday, followed by similar moves from the European Central Bank and Bank of England.

“There are no expectations of rate cuts from any of these central banks,” said Trade Nation.

Published in Dawn, April 28th, 2026