OIL PRICE: NOT ABOVE $72
REUTERS - Asian share markets were mixed and oil prices fell on Monday as relief U.S.-led strikes on Syria looked unlikely to escalate was tempered by concerns at Russia's potential reaction to new sanctions from Washington.
With the situation in the Middle East still fluid, moves were modest and in both directions. EMini futures for the S&P 500 ESc1 nudged up 0.38 percent, while Japan's Nikkei .N225 added 0.2 percent.
Yet MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS slipped 0.4 percent as Chinese blue chips .CSI300 took an early 0.7 percent dip.
The United States, France and Britain launched 105 missiles targeting what the Pentagon said were three chemical weapons facilities in Syria in retaliation for a suspected poison gas attack in Douma on April 7.
Russian President Vladimir Putin warned on Sunday that further Western attacks on Syria would bring chaos to world affairs, as Washington prepared to increase pressure on Russia with new economic sanctions.
But with President Donald Trump declaring mission accomplished, investors wagered the worst had been avoided.
"Trump was able to enforce his chemical weapons red line without crossing the threshold for Russian retaliation," analysts at JPMorgan said in a note.
"Stocks were concerned about a prolonged and expanded U.S. campaign toward Assad and that doesn't look probable."
Safe-haven assets eased in response, with yields on U.S. 10-year Treasury debt US10YT=RR up two basis points at 2.84 percent.
The dollar was a fraction firmer on the yen at 107.40 JPY=, up on last week's low around 106.62.
Dealers were keeping a wary eye on Japanese politics after a survey showed support for Japanese Prime Minister Shinzo Abe had fallen to 26.7 percent, the lowest since he took office in late 2012.
Abe's sliding ratings are raising doubts over whether he can win a third three-year term as ruling Liberal Democratic Party (LDP) leader in a September vote, or whether he might even resign before the party election.
The euro was steady at $1.2330 EUR=, while the dollar index eased a touch to 89.772 .DXY.
In commodity markets, gold gained 0.1 percent to $1,346.61 an ounce XAU=, but remained well short of last week's peak at $1,365.23.
Oil prices slipped with Brent crude futures LCOc1 off 66 cents at $71.92 a barrel, while U.S. crude CLc1 fell 56 cents to $66.83 a barrel.
Looking ahead, the U.S. earnings season kicks into high gear this week with Thomson Reuters data predicting profits at S&P 500 companies increased by 18.6 percent in the first quarter from a year ago, their biggest rise in seven years.
Yet with expectations so high, bank shares ran into profit-taking on Friday after a batch of mixed results.
In Asia, China reports its gross domestic product for the first quarter on Tuesday with market forecasts clustered around growth of 6.7 percent to 6.8 percent.
The United States reports retail sales later on Monday and there are around 15 Federal Reserve speakers in the diary for the week.
Also this week, the IMF will hold its spring meetings of central bankers and finance ministers in Washington.
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U.S. FRB - Industrial production edged up 0.1 percent in July after rising at an average pace of 0.5 percent over the previous five months. Manufacturing production increased 0.3 percent, the output of utilities moved down 0.5 percent, and, after posting five consecutive months of growth, the index for mining declined 0.3 percent. At 108.0 percent of its 2012 average, total industrial production was 4.2 percent higher in July than it was a year earlier. Capacity utilization for the industrial sector was unchanged in July at 78.1 percent, a rate that is 1.7 percentage points below its long-run (1972–2017) average.
NPD - Preliminary production figures for July 2018 show an average daily production of 1 911 000 barrels of oil, NGL and condensate, which is an increase of 64 000 barrels per day compared to June.
GAZPROM NEFT - For the first six months of 2018 Gazprom Neft achieved revenue** growth of 24.4% year-on-year, at one trillion, 137.7 billion rubles (RUB1,137,700,000,000). The Company achieved a 49.8% year-on-year increase in adjusted EBITDA, to RUB368.2 billion. This performance reflected positive market conditions for oil and oil products, production growth at the Company’s new projects, and effective management initiatives. Net profit attributable to Gazprom Neft PJSC shareholders grew 49.6% year on year, to RUB166.4 billion. Growth in the Company’s operating cash flow, as well as the completion of key infrastructure investments at new upstream projects, delivered positive free cash flow of RUB47.5 billion for 1H 2018.
REUTERS - Front-month Brent crude oil futures LCOc1 were at $72.34 per barrel at 0648 GMT, down by 12 cents, or 0.2 percent, from their last close. U.S. West Texas Intermediate (WTI) crude futures CLc1 were down 23 cents, or 0.3 percent, at $66.81 per barrel.