Global stock markets were mostly soft on Monday as investors avoided risks ahead of this week's Federal Reserve meeting, which may yield clues to the direction of interest rates in coming months.

A bid by Paramount for Warner Bros. Discovery, meanwhile, brought the tech and entertainment sectors to life, as the market braced for a bidding war with Netflix.

A monetary easing at Wednesday's Fed meeting is fully priced into stock prices, analysts said, but investors will scour the central bank's statement and news conference for insights into how many rate reductions might be on the cards next year, against a backdrop of stubborn inflationary pressures.

"Investors have priced in that rate cut already and now are anxiously waiting for the tone of the Fed," said Art Hogan of B. Riley Wealth

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