Global markets rallied on Monday while oil prices fell nearly 7% as investors welcomed signs that the US and Iran had stepped back from further military confrontation and were discussing a possible resumption of negotiations on an interim ceasefire deal.

Global markets rallied on Monday while oil prices fell nearly 7% as investors welcomed signs that the US and Iran had stepped back from further military confrontation and were discussing a possible resumption of negotiations on an interim ceasefire deal.

Investor sentiment also received a boost from the spectacular stock market debut of Chinese memory chipmaker CXMT. Shares of the company surged 466% on their first day of trading on Shanghai's technology board, making it China's most valuable listed company with an estimated market capitalisation of 3.3 trillion yuan (nearly $490 billion).

Oil prices plunge as geopolitical tensions ease

The Pentagon did not respond to questions about the reported pause in attacks on Iranian coastal areas and infrastructure after nearly two weeks of escalating fighting triggered by Iran's attacks on ships transiting the Strait of Hormuz.