US sharemarkets rose on Monday as oil prices retreated and investors attempted to recover from another week of losses while monitoring developments in the conflict with Iran. The Dow Jones Industrial Average gained 388 points, or 0.83%, to close at 46,946.41. The S&P 500 rose 1.01% to finish at 6,699.38, while the Nasdaq Composite advanced 1.22% to 22,374.18.
The gains came after the S&P 500 recorded its third consecutive weekly decline on Friday and closed at its lowest level of the year.
Oil retreats after sharp rally
Energy markets remained a key driver of sentiment. Oil prices had surged last week, with Brent crude climbing above US$100 a barrel for the first time since 2022 as traffic through the Strait of Hormuz was disrupted by the conflict.
On Monday, West Texas Intermediate crude fell 5.28% to settle at US$93.50 a barrel, while Brent crude declined 2.84% to US$100.21
Technology stocks support gains
Technology shares supported the broader market recovery. Meta Platforms rose more than 2% following reports the company may reduce its workforce, while Nvidia gained more than 1% as its GTC conference began.
Australian market outlook
Australian shares are expected to open higher, following gains on Wall Street and easing oil prices. ASX 200 futures were up 66 points, or 0.8%, to 8,646.
The Australian dollar strengthened as the US dollar weakened. Investors will be focused on the Reserve Bank of Australia’s policy decision later today, with the central bank widely expected to lift the cash rate. The RBA will release its policy statement at 2.30pm AEDT, followed by a press conference from Governor Michele Bullock at 3.30pm.
