US equity investors will focus this week on conflicting news about the state of the Iran war while keeping a close eye on the labor market data, which, if weak, could influence the forecasts for monetary policy amid surging crude oil prices.

* President Donald Trump told the Financial Times that he is considering seizing Iran's Kharg Island, which is strategic for Tehran because it is used for crude oil exports.

* Separately, CNN cited Trump as telling reporters aboard Air Force One that Iran has agreed to "most of" the 15-point list of demands from the US to end the war. Iran's parliament speaker on Sunday accused the US of "secretly planning a ground invasion" while talking of negotiations, the news report added.

* Wednesday's ADP private payrolls report for March, the JOLTS job openings data for February on Tuesday, and weekly jobless claims on Thursday will precede Friday's closely-watched nonfarm payrolls report for March.

* The US equity market will be closed on April 3 for the Good Friday public holiday.

* The Federal Reserve is most likely to either leave interest rates unchanged or raise them this year, leaving the probability of a 25 basis-point cut below 10% in each of the six policy meetings remaining, according to the CME FedWatch tool early Monday. The likelihood of policy easing changed after the Iran war pushed Brent crude oil futures above $115.29 as of early Monday from around $70 at the end of February.

* Amid mounting concerns that the war against Iran will worsen and crude oil prices remain elevated, the US 10-year yield traded at 4.39% early Monday, close to its highest since July 2025, from around 3.96% towards the end of last month.

* "What will matter most of all to markets is news on the Iran conflict," Investec economist Sandra Horsfield was cited as saying in a Dow Jones report published by Morningstar. "Macro data will at best play second fiddle."

* Quarterly earnings due this week include Nike (NKE) and Conagra Brands (CAG).