Trade anxiety; Oil prices; Uber's second day

Asia stocks dipped Monday, with the Nikkei dropping around 0.7% and the Shanghai Composite falling 1.2%. Hong Kong markets were closed for a public holiday. Stocks in Germany lost about 0.8% in early trading, while the UK's FTSE 100 index was flat.

US stock futures also spell trouble. The Dow is poised to drop about 300 points at the open, or almost 1.2%. The Nasdaq is set to fall 1.6%, while the S&P 500 is tracking down 1.2%.

Front of mind is a warning Sunday from Larry Kudlow, President Donald Trump's top economic adviser. He said US officials expect China to retaliate for the tariff hike the Trump administration imposed on Friday, when it increased import taxes on $200 billion of Chinese goods to 25% from 10%.

"We'll see what they come up with," Kudlow said of Beijing's expected response.

The uncertainty has already taken stocks for a wild ride. On Friday, the Dow finished 114 points, or 0.4% higher, but still closed out the week down 2.1%. The S&P 500 ended 0.4% higher, but was down 2.2% for the week.

2. Oil rising: Concerns about further risks to supply are sparking a run-up in oil prices.

Brent crude futures, the global benchmark, jumped about 1.6%, while US oil futures rose 1.2%.

The moves come after Saudi Arabia said two of its tankers were sabotaged near a key shipping lane off the coast of the United Arab Emirates. A report from the state press agency Monday said there had been "significant damage to the structures of the two vessels," but didn't mention casualties or oil spills.

Saudi Arabian Energy Minister Khalid al-Falih described the attack as an attempt to "undermine the freedom of maritime navigation, and the security of oil supplies to consumers all over the world."

Supply fears have already helped drive prices 33% higher this year amid the Trump administration's crackdowns on two big producers: Venezuela and Iran.

Oil stocks were getting a lift, too. Shell (RDSA) climbed almost 1.2% in early trading, while BP (BP) inched 0.8% higher.

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3. Companies: Tencent Music (TME) will release earnings after the US market close on Monday. The company, which dominates music streaming in China, went public on the New York Stock Exchange in December.

Uber (UBER) will enter its second day of trading as a public firm. Shares in the company dropped more than 7% on Friday after a disappointing debut.

4. Coming this week:
Monday — Tencent Music (TME) earnings
Tuesday — Nissan (NSANF) earnings
Wednesday — Alibaba (BABA), Tencent (TCEHY) and Macy's (M) earnings; US April retail sales
Thursday — Walmart (WMT), Baidu (BIDU) and NVIDIA (NVDA) earnings; VivaTech conference starts in Paris
Friday — US consumer sentiment

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