In Asian Equity Markets stocks traded lower on Monday, although the Kospi edged higher following weekend news regarding U.S.-North Korea relations. Investors also digested the extended slide in oil prices after top producers indicated output could increase. Japan gave up early gains to slip into negative territory, with the Nikkei 225 shedding 0.12 percent. Greater China markets tracked lower, with the Hang Seng Index slipping 0.11 percent and the Shanghai composite declining 0.71 percent. Meanwhile, Australia’s S&P/ASX 200 pulled back 0.51 percent as declines in energy and materials weighed on the broader index.

In Currency Markets the euro crawled off a 6-1/2-month low against the dollar on Monday, catching its breath after Italy’s president tried to allay investor worries about political unrest in the country, although the prospect of a near-term election capped gains. The euro was 0.45 percent higher at $1.1703 after falling on Friday to $1.1646, its lowest since mid-November, losing more than 1 percent on the week. The common currency was up 0.45 percent at 128.065 yen after sinking on Friday to an 11-month low of 127.165. The Australian dollar, which is sensitive to shifts in risk sentiment, gained 0.25 percent to $0.7569 after shedding 0.4 percent on Friday.

In Commodities Markets oil prices fell on Monday, extending a steep decline in the previous session, as the market eyed an increase in output from the world’s three top crude producers, Russia, the United States and Saudi Arabia. Brent crude futures were at $75.34 per barrel, down $1.10, or 1.4 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures were at $66.31 a barrel, down $1.57, or 2.3 percent. Brent and WTI have fallen by 6.4 percent and nearly 9 percent respectively from peaks reached earlier in May. In China, Shanghai crude oil futures fell by 4.5 percent to 459 yuan ($71.83) per barrel.

In US Equity Markets the S&P 500 index and the Dow eased on Friday after a steep decline in oil prices pressured energy stocks, but losses were limited by gains in chip-makers and retail stocks. The S&P energy index slid 3.3 percent, on track for its biggest one-day percentage decline since Feb. 5. Chevron dropped more than 4 percent, while Exxon fell 2.5 percent and were the biggest drags on the Dow. The S&P 500 lost 0.24 percent, to 2,721.33 and the Nasdaq Composite added 0.13 percent, to 7,433.85. A 20.2 percent jump in Foot Locker boosted the S&P consumer discretionary index which rose 0.2 percent, after the company reported a better-than-expected quarterly profit.

In Bond Markets Japanese government bond prices rose on Monday, tracking gains by U.S. Treasuries as political turmoil in the euro zone enhanced demand for safe-haven debt. June 10-year JGB futures rose 0.05 point to 150.96. The 20-year JGB yield was unchanged at 0.515 percent , while the 30-year yield fell 1 basis point to 0.730 percent. The super-long JGBs were seen to have attracted demand from index-following investors who tend to extend the duration of their portfolios at the turn of each month.