Oil opened higher but quickly gave back some gains. Market reactions were surprisingly muted at the start of the week despite developments in the Iran-Israel hostilities over the weekend.

"The furious exchange of fire between Israel and Iran leaves little doubt about unprecedented escalation in the Iran-Israel conflict," said Vishnu Varathan at Mizuho Securities. That said, the hope for now is that the conflict would not erupt into an all-out war that threatens regional stability,

Israel's ambassador to the United States said Sunday that Israel was not looking to limit or quickly finish up its war with Iran. "The objective is not to contain the war. The objective is to win the war,