U.S. equity futures slipped early Monday as Wall Street assesses the latest developments in the Iran war negotiations and awaits the release of inflation data closely watched by the Federal Reserve.

S&P 500 futures traded down 0.5%, while Nasdaq-100 futures were 0.6% lower. Futures tied to the Dow Jones Industrial Average dropped 187 points, or 0.4%.

Asia-Pacific markets closed mixed, with Japan’s Nikkei 225 jumping to a fresh record, advancing 1.55% to end the trading session at 72,353.96, while South Korea’s Kospi gained 0.69% to 9,114.55. Hong Kong Hang Seng Index slipped 0.63% in the final hour of trade, while the mainland’s CSI 300 was up 2.39% at 5,059.66. Australia’s benchmark S&P/ASX 200 was 0.14% lower at 8,816.10.

European markets started a new trading week higher, with the Stoxx 600 up 0.12%. Most sectors were in the red, however, with losses led by retail and construction.

Brent oil futures turned negative on Monday after mediators Qatar and Pakistan said that U.S. and Iranian officials had agreed on a roadmap to reach a final deal within 60 days.

International benchmark Brent crude futures for August gained in early Asian trading, then fell 0.38% to $80.26 a barrel. U.S. West Texas Intermediate futures for July pared a 3% jump in earlier trading to be about 1% higher, at $77.52 per barrel. 

The three leading U.S. indexes staged a comeback Thursday after a sell-off on Wednesday, with the declines fueled by investor uncertainty about the trajectory of monetary policy. Thursday’s comeback – led by a rise in chip stocks – helped the indexes finish the trading week higher.

The S&P 500 gained nearly 1% in the period, seeing its 11th winning week in 12. The Dow Jones Industrial Average also rose close to 1% on the week, while the Nasdaq Composite advanced more than 2%. The U.S. stock market was closed on Friday for the Juneteenth holiday.

A key test for the market this week will be the release on Thursday of May’s reading on the personal consumption expenditures price index, the Fed’s preferred inflation gauge. Even excluding volatile food and energy prices, core PCE is expected to increase from April, according to economists polled by FactSet.

Following last week’s hawkish Fed meeting, expectations of an interest rate increase were pulled forward to as soon as October. Investors are now laser-focused on any inflation reading that could signal the U.S. central bank may soon begin hiking rates.

While Fundstrat Global Advisors’ Tom Lee believes a number of catalysts could impact the market down the line – such as the implementation of task forces at the Federal Reserve and supply chain impacts from the closure of the Strait of Hormuz – the environment remains positive.

“We still believe later this year there is going to be an abrupt change of market conditions, one that feels very much like a bear market, but we don’t want to stand and call a top,” the firm’s head of research said on CNBC’s “Closing Bell” on Thursday. “I think conditions are still favorable for stocks.”