In European Equity Markets stocks finished lower on Monday, as investors braced for the ramifications of another round of tariffs from the two major economies. The pan-European Stoxx 600 ended down by 0.54 percent with almost every sector in the red. Shares of Randgold Resources also rose than 6 percent after the company agreed to merge with Canadian Barrick Gold, in a deal worth $18.3 billion. Airlines were struggling to make gains after Thomas Cook announced a profit warning. The FTSE 250 company was down almost 27 percent.

In Currency Markets the euro rose to more than a three-month high against the dollar on Monday after European Central Bank chief Mario Draghi said he sees a vigorous pickup in euro zone inflation, backing moves toward unwinding an ECB asset purchase program meant to stimulate the economy. The euro rose 0.3 percent against the dollar to $1.1783. It rose to as high as $1.1815, a 3-1/2-month peak. Against the yen, the dollar was flat at 112.56 yen ahead of this week’s Fed meeting.

In Commodities Markets oil prices jumped more than 2 percent to a four-year high on Monday after Saudi Arabia and Russia ruled out any immediate increase in production despite calls by U.S. President Donald Trump for action to raise global supply. The OPEC and non-OPEC states, including top producer Russia, gathered in Algiers on Sunday for a meeting that ended with no formal recommendation for any additional supply boost to counter falling supply from Iran. Brent crude hit its highest since November 2014 at $80.94 per barrel up 2.7 percent, before easing to $80.62.

In US Equity Markets the benchmark S&P 500 hit a session low on Monday after Axios reported that U.S. Deputy Attorney General Rod Rosenstein had resigned in anticipation of being fired by President Donald Trump. The S&P 500 lost 0.50 percent, to 2,915.04 and the Nasdaq Composite fell 0.46 percent, to 7,950.20. SiriusXM announced it would buy Pandora in a stock deal worth $3.5 billion. The deal initially sent Pandora shares jumping nearly 20 percent higher in the pre-market before trading about 1 percent higher.

In Bond Markets U.S. Treasury yields across maturities fell by around 2 basis points on Monday. The benchmark government bond was last down 2 basis points at 3.702 percent, but had ticked up modestly since it hit a session low of 3.065 percent immediately following the news. The two-year note yield and the 30-year bond yield had also ticked up modestly after the initial drop.