Oil futures declined  on Monday as traders focused on market fundamentals( supply, demand and geopolitical factors), suggesting that the Middle East geopolitical tensions would have little or no impact on oil disruptions.

Brent crude futures settled at $87.00 a barrel, a  0.33% decrease while U.S. West Texas Intermediate crude closed  down by  0.35%, at $82.85 a barrel. The fundamentals on Oil are strong and there is going to be tightening of supply in the nearest future putting upward pressure on prices. However, The significant surplus production capacity in certain oil-producing nations could offset any potential supply interruptions.

The significant decline in US bonds this April is leading some investors to commit  additional funds to this asset class to secure higher yields in anticipation of interest rate cuts by the Federal Reserve. This remains the prevailing expectation among investors, despite the resilience of the US economy. The treasury yield which has inverse relationship with price has soared in recent weeks with benchmark 10-year yield approaching 5% , a level last touched in October for the first time in 16 years. When interest rates rises, the yield on bond rises while prices falls. This market dynamics has prompted a lot of discerning investors to shop more of this asset class ahead of Fed rate cut.

China experienced a 2.3% decrease in its fiscal revenue in Q1’ compared to the previous year, influenced by various factors, including past tax reduction policies. China’s tax revenue dropped by 4.9% to 4.9 trillion yuan ($676.48 billion) in the first three months, but revenue from cultural, tourism and advanced manufacturing industries grew faster. Fiscal expenditures surge by  2.9% on year to nearly 7 trillion yuan in the first three months, according to Wang, slowing significantly from 6.7% growth seen in the first two months. The world’s second-biggest economy’s property downturn has continue to hurt local governments’ finance and fiscal capabilities.

Indian stocks started off the week on a positive note, following the global market’s rebound, as fears regarding escalating tensions in the Middle East subsided. The NSE Nifty 50 was up by  0.86% closing at 22,336.40, while the S&P BSE Sensex  ended 0.77% higher to hit 73,648.62. Both benchmarks dipped about 1.6% due to Middle East tension and a delay in us rate cut. However, those Middle East worries pushed Asian shares downward by 3.7% last week but it gained 0.9% on Monday. Spot gold declined by 2.59% hitting  $2,328.65 per ounce, as it position  itself for its most significant one-day decrease since June 2022