Asia

• S&P 500 Futures Signal Rally Ebbing; Bonds Decline in Europe (BBG)
• Oil prices capped by doubts OPEC-led cut will end glut (Reuters)
• Fed Minutes to Be Parsed for Insight on Inflation, Jobs (WSJ)
• Trump keeping 'open mind' on pulling out of climate deal (Reuters)
• Trump Raises Prospect of Keeping Ties to His Firms (WSJ)
• Obama's not-so-secret admirer: Donald Trump (Reuters)
• Facebook’s Fake News Crackdown: It’s Complicated (BBG)
• Iran warns of retaliation if U.S. breaches nuclear deal (Reuters)

In a quiet overnight session in which Japan was closed, European shares are mixed as financials and auto weigh, Asian stocks rise led by materials while S&P futures little changed against a backdrop of the continuing commodity rally with oil holding near $48 a barrel, up fractionally on the session. Against a basket of currencies, the dollar index was up slightly at 101.12, very close to a 14-year peak. The dollar also kept most of its recent hefty gains on the yen at 111.05 though it has met resistance around 111.35 in the last couple of sessions

Since Trump elevated Steve Bannon to be his Karl Rove, several of you have pressed me to say what I think of him. It has been framed as, “Now that Trump will be bringing such a berserk bigot into the White House, you are obliged to denounce them all. What’s taking you so long?”

Over the weekend we reported that as Obama was speaking at the APEC summit in Peru, hoping to salvage his global trade legacy, the TPP, China's President Xi Jinping officially called for the launch of the Free Trade Area of Asia-Pacific for "institutional guarantee of open economy", a move many had expected would take place as China was eager to fill in the void left by the US in any trans-Pacific trade treaty.

European and Asian stocks rose after the early scare from the latest Fukushima quake dissipated when all Tsunami warnings were cancelled. The global risk on mood was spurred by another jump in crude, which was up 1% in early trading, with the commodity complex now enjoying its biggest three-day rally since May, after Nigeria signaled optimism that OPEC will agree a supply-cut deal next week in Vienna. S&P futures are up 0.3%, with the cash index set to open at new record highs.