Stocks bounce back as Iran, Israel signal a pause

Global equities staged a comeback on Monday, with the MSCI's world index recovering some of its earlier losses, buoyed by a rebound in the technology sector. Oil futures also saw their gains trimmed as tensions between Iran and Israel appeared to de-escalate, at least temporarily.

Markets reacted to signals from both Iran and Israel that they had halted attacks on each other. This pause followed an appeal from U.S. President Donald Trump. However, lingering uncertainty persisted as Tehran stated it would resume strikes if Israel continued to target Iran-backed Hezbollah in Lebanon. Earlier, Israel had reportedly struck a petrochemical plant in southwestern Iran, with Iran's Islamic Revolutionary Guard Corps claiming retaliation against a similar Israeli plant in Haifa.

Energy markets reflected this cautious sentiment. U.S. crude futures were up 1.42% at $91.83 a barrel, after earlier surpassing $95. Brent crude followed a similar pattern, trading at $94.78 per barrel, up 1.82% on the day, having previously exceeded $98.

On Wall Street, major indexes staged a comeback. Investors appeared to be seeking bargains following a significant sell-off on Friday, which had been particularly driven by pressure on the heavyweight technology sector that impacted the broader market.