LONDON: Oil prices stabilised on Monday after last week's decline of about 3%, as investors weighed the chances for a U.S. rate cut against the prospect of a Ukraine peace deal that could lead to an easing of sanctions on major producer Russia.

The United States and Ukraine were set to resume work on a revised peace plan ahead of a Thursday deadline set by U.S. President Donald Trump, after agreeing to adjust an earlier version that critics said was too favourable to Moscow.