Asia stocks edge higher, oil up amid Gulf confusion

Asian stock markets moved higher on Monday, following a dip in US jobs data that reduced concerns of an imminent interest rate increase. Brent crude oil climbed 0.9% to $84.32 a barrel, while US crude rose 0.7% to $78.74 a barrel. The Gulf peace talks remain stalled, with Iran stating a deal with Oman on shipping lanes is nearing completion.

However, the final agreement will only reopen the waterway if the US meets additional conditions. This volatility in oil prices adds to concerns surrounding the upcoming US July consumer price report. Analysts predict a modest rise of 0.1% for headline inflation and 0.2% for core inflation. If core inflation data strengthens, it could reignite speculation of a Federal Reserve rate hike at the September meeting.

Core Consumer Price Index (CPI) forecasts stand at 0.22%, and a jump closer to 0.3% could prompt a rate hike. U.S. Treasuries gained ground, while major Asian stock indices, including Japan's Nikkei, South Korea's Kospi, and MSCI's Asia-Pacific index, experienced gains. The S&P 500 and Nasdaq futures saw minor fluctuations, reflecting the market's cautious optimism amid earnings season.