US index futures rose in Monday’s pre-market as investors awaited major tech earnings, boosting Nasdaq prospects. Optimism was furthered by easing geopolitical tensions following Israel’s strikes on Iran, which avoided critical targets. Traders also look to key economic data this week, including GDP, PCE, and the September jobs report.

At 5:21 AM, Dow Jones futures (DOWI:DJI) rose 201 points, or 0.47%. S&P 500 futures gained 0.58%, and Nasdaq-100 futures rose 0.74%. The 10-year Treasury yield stood at 4.27%.

In commodities, West Texas Intermediate crude for December fell 5.61% to $67.75 a barrel, while Brent for December dropped 5.42% to $71.93.

Oil prices declined as Israel’s strike on Iran targeted military installations, avoiding nuclear and oil facilities, and didn’t disrupt energy supplies, easing Middle East tensions. The prospect of a ceasefire between Israel and Hamas also reduced geopolitical risk, prompting Citi to cut its Brent forecast to $70.

Gold (PM:XAUUSD) dipped as Israel’s strikes on Iran were less extensive than anticipated, with the metal trading near $2,732.93 per ounce. Without an immediate response from Tehran, gold’s demand as a safe haven dropped. Investors now focus on U.S. inflation and employment data, which could influence Federal Reserve rate decisions and benefit gold if rates fall.

In Asia-Pacific markets, South Korea’s Kospi rose 1.13%, with the Kosdaq up 1.8%, recovering from a six-week low. Australia’s S&P/ASX 200 gained 0.12%, while Hong Kong’s Hang Seng reversed losses, climbing 0.18% in the final hour of trading.

China’s CSI 300 rose 0.2%, led by steelmakers after the industry association announced plans to support the sector amid low demand and reduced profits. Companies like Angang Steel and Maanshan Iron & Steel saw significant stock increases amid speculation of consolidation favoring major state producers in a market affected by the property crisis and threatened exports.

Moreover, the People’s Bank of China introduced a new reverse repo tool to inject liquidity and support credit ahead of large medium-term loan maturities totaling $406.6 billion (2.9 trillion yuan). The move aims to improve credit availability and modernize the bank’s monetary policy, aligning it with U.S. and European standards.

Japan’s Nikkei closed 1.82% higher after Prime Minister Shigeru Ishiba’s coalition lost its parliamentary majority, raising political uncertainty. The yen’s decline favored exporters like Toyota and Nissan, which gained 4% and 3.5%, respectively. Analysts warn that political instability could limit ambitious economic policies and raise fiscal concerns.

Bank of Japan Governor Kazuo Ueda highlighted the need to improve communication with markets after an unexpected rate hike in July triggered a market decline. According to Reuters, Vice Governor Himino and other leaders recognize the need for clearer, more frequent communication to prevent surprises but acknowledge challenges in unifying messages among bank policymakers.

In Singapore, disinflation remains steady, and economic growth is expected to last through 2025, with the central bank projecting core inflation at 2% this year and between 1.5% and 2.5% by 2025. Risks include trade tensions and a slowdown in China, potentially affecting recovery and raising prices.

European markets opened higher on Monday as investors cautiously assessed the Middle East crisis, with most sectors performing positively. Philips (EU:PHIA) shares, however, plummeted after revising its annual forecast downwards due to weaker demand in China.

In other highlights, online trading platform Plus500 (LSE:PLUS) expects its revenue and EBITDA to reach $724.5 million and $338.3 million, respectively. In Q3, EBITDA rose 2% to $82.2 million, with revenue growing 11% to $187.3 million.

The UK’s Financial Conduct Authority fined Wise (LSE:WISE) CEO Kristo Kaarmann $453,705 for tax defaults in fiscal year 2017-18. Although the fine followed an investigation, it didn’t question Kaarmann’s integrity in leading Wise.

UK-based rail ticketing company Trainline (LSE:TRN) again raised its 2023 forecast, now expecting revenue growth between 11% and 13%, up from the prior 7%-11% range, and adjusted EBITDA at 2.6% of net ticket sales.

On Friday, U.S. stock indices had mixed performance. The Nasdaq rose 0.6%, while the Dow fell for the fifth consecutive session, reflecting rate concerns. The Dow Jones dropped 0.6% on Friday, marking a weekly loss of 2.7%. The S&P 500 had a slight 1.74-point decline for a weekly decrease of 1.0%. The Nasdaq achieved a seventh consecutive week of gains, though the Dow and S&P closed six-week positive streaks.

Initial optimism waned as Treasury yields rose. In economic data, the consumer confidence index climbed to 70.5, the highest since April, as markets await upcoming employment reports and major earnings.

On the quarterly earnings front, reports are expected from Onsemi  (NASDAQ:ON), Philips  (NYSE:PHG), Cemex  (NYSE:CX), CenterPoint Energy  (NYSE:CNP), Procept Biorobotics  (NASDAQ:PRCT), Acadia Realty Trust  (NYSE:AKR), Bank of Marin  (NASDAQ:BMRC), Bank of Hawaii  (NYSE:BOH), SJW Group  (NYSE:SJW) and Alliance Resource Partners  (NASDAQ:ARLP) before the opening.

After the close, earnings from Ford  (NYSE:F), TransMedics  (NASDAQ:TMDX), Cadence Design Systems  (NASDAQ:CDNS), Waste Management  (NYSE:WM), Rambus  (NASDAQ:RMBS), VF Corporation  (NYSE:VFC), F5 Networks  (NASDAQ:FFIV), Brown & Brown  (NYSE:BRO), Amkor Technology  (NASDAQ:AMKR) and Ultra Clean Holdings  (NASDAQ:UCTT) are anticipated.