Key facts
- US considering waiving sanctions on Russian crude oil.
- Brent crude prices fell 2% on Monday.
- Meta and other AI-linked companies to report earnings this week.
Oil prices retreated on Monday as the US weighed waiving sanctions on Russian crude, a move that could help lower energy prices ahead of the midterms. Brent crude had reached $110 per barrel on Friday, its highest since May, amid concerns over the Iran and Russia-Ukraine wars. Despite further attacks on ships in the Gulf and a Ukrainian strike on a Russian oil installation, the focus shifted to the potential sanctions waiver. US Secretary of State Marco Rubio voiced doubts about the impact of such a waiver, suggesting President Trump would take up to 60 days to assess it. In other markets, AI-linked tech stocks experienced a significant selloff last week, with the SOX chip index losing over 10%. Earnings reports from Meta and others this week will be closely watched for insights into investment spending and revenue growth. China reported stronger-than-expected third-quarter GDP growth of 4.5% and softer retail sales, while the yuan hit a four-year high. Indonesia's stock market continued its decline, down over 40% for the year, following MSCI's announcement that it may remove the country from its emerging market indexes due to governance concerns.