In European Equity Markets the pan-European Stoxx 600 traded 0.2 percent lower with most sectors in negative territory. Auto stocks and basic resources were under pressure on trade concerns. Looking at individual stocks, Micro Focus and Elisa fell following downgrades from brokers. At the other end, Indivior rose almost 19 percent after obtaining a preliminary injunction against Dr Reddy’s Laboratories for selling copycat versions of its drugs. Deutsche Bank rose 8 percent after posting second-quarter results above consensus.

In Currency Markets the US dollar fell on Monday, having posted its largest weekly gain in a month last Friday, as risk appetite improved, prompting investors to pare back some of their long bets on the greenback, which has grown substantially over the last few weeks. The dollar briefly pared losses after data showed U.S. retail sales rose 0.5 percent in June, as households boosted purchases of automobiles and a range of other goods. The euro rose 0.3 percent against the dollar to $1.1714 after weakening half a percent last week.

In Commodities Markets oil prices fell sharply on Monday as concerns about supply disruptions eased and Libyan ports reopened while traders eyed potential supply increases by Russia and other producers. Benchmark Brent crude fell more than 3 percent to a low of $73, before recovering slightly to around $73.15. U.S. light crude was down $1.70 at $69.31. Russia and other oil producers could raise output by 1 million barrels per day (bpd) or more if shortages hit the market, Russian Energy Minister Alexander Novak told reporters on Friday.

In US Equity Markets the S&P 500 index was marginally lower on Monday as a decline in crude oil prices weighed on the energy stocks and offset a rebound in financials after Bank of America’s strong results reinforced expectations of a strong earnings season. The S&P energy sector fell 1.6 percent, the most among the 11 major S&P sectors. Shares of Exxon slid more than 1.2 percent and Chevron 1.4 percent. Bank of America rose 2.1 percent after the lender’s quarterly profit beat analysts expectations on lower expenses and growth in loans and deposits.

In Bond Markets U.S. Treasury yields held at higher levels on Monday as data on domestic retail sales in June reinforced the view that consumer spending is increasing at a solid clip for robust economic growth in the second quarter. The yield on benchmark 10-year Treasury notes was at 2.847 percent, up 1.6 basis points from late on Friday. Canadian government bond prices were lower across much of the yield curve in sympathy with U.S. Treasuries. The two-year yield was up slightly at 1.941 percent, while the 10-year rose to 2.156 percent from 2.133 percent late on Friday.