*** So, war or no war!? That's the question Donald Trump and the energy markets seem to be grappling with right now. Oil prices surged to nearly $117 a barrel last week, the highest level since April, after a flurry of Iranian attacks on tankers near the Strait of Hormuz spooked traders. However, Brent crude was down about $2 on Monday morning, a reminder of the ongoing uncertainty in energy markets. With oil exports from the Middle East still relatively strong, investors are paying attention not only to the news headlines, but also to what comes next. And when Israelis go to the polls on Tuesday and Americans vote just eight days later, all eyes are on Washington. Trump summed up the dilemma he faces in the eight-month war with Iran in an interview with Fox News on Sunday: "I have to make a decision: end it, which would be very easy to do, or make a deal? this is". This leaves a lot of room for interpretation. Meanwhile, markets are also closely watching the first high-level meeting between Mecca Treaty members Saudi Arabia, Turkey and Pakistan and Iran's leaders in Tehran on Monday. The talks are expected to focus on efforts to curb the escalating conflict in Yemen, which has increasingly spilled over Saudi Arabia's borders, with the Iran-backed Houthi movement claiming numerous attacks on energy infrastructure. Whether these diplomatic efforts can prevent another direct confrontation between Iran and the US is anyone's guess.

*** So, war or no war!? That's the question Donald Trump and the energy markets seem to be grappling with right now. Oil prices surged to nearly $117 a barrel last week, the highest level since April, after a flurry of Iranian attacks on tankers near the Strait of Hormuz spooked traders. However, Brent crude was down about $2 on Monday morning, a reminder of the ongoing uncertainty in energy markets. With oil exports from the Middle East still relatively strong, investors are paying attention not only to the news headlines, but also to what comes next. And when Israelis go to the polls on Tuesday and Americans vote just eight days later, all eyes are on Washington. Trump summed up the dilemma he faces in the eight-month war with Iran in an interview with Fox News on Sunday: "I have to make a decision: end it, which would be very easy to do, or make a deal? this is". This leaves a lot of room for interpretation. Meanwhile, markets are also closely watching the first high-level meeting between Mecca Treaty members Saudi Arabia, Turkey and Pakistan and Iran's leaders in Tehran on Monday. The talks are expected to focus on efforts to curb the escalating conflict in Yemen, which has increasingly spilled over Saudi Arabia's borders, with the Iran-backed Houthi movement claiming numerous attacks on energy infrastructure. Whether these diplomatic efforts can prevent another direct confrontation between Iran and the US is anyone's guess.