Investing.com - Asian stocks dipped on Monday in thin trade with no major releases and markets in Japan are closed, though weekend news that Greece would re-open banks with conditions eased any volatility.
The S&P/ASX 200 fell 0.05%, while the Shanghai Composite eased 0.43% lower and the Hang Seng index declined 0.24%.
Greek banks are ready to open their branches across the country on Monday after a three-week shutdown, officials said at the weekend, while German Chancellor Angela Merkel called for swift aid talks so Athens could also lift withdrawal limits.
The cautious reopening of the banks, and an increase in value added tax on restaurant food and public transport from Monday, are aimed at restoring trust inside and outside Greece after an aid-for-reforms deal last week averted bankruptcy.
Greek Prime Minister Alexis Tsipras is trying to turn a corner after he reluctantly agreed to negotiate a third bailout, allowing the European Central Bank to top up bank credit lines but prompting a rebellion in his leftist Syriza party.
"Capital controls and restrictions on withdrawals will remain in place but we are entering a new stage which we all hope will be one of normality," the head of Greece's banking association Louka Katseli told Skai television.
Last week, U.S. stocks were mixed on Friday, as the Dow Jones Industrial Average cooled off from a recent hot streak and a surge in Google Inc (NASDAQ:NASDAQ:GOOGL). (NASDAQ:GOOG) shares pushed the NASDAQ Composite index to all-time intraday and closing records.
While the Dow fell mildly in Friday's session, it still closed higher for the third consecutive week and ended a week above 18,000 for the first time in more than a month. On Friday, the Dow lost 33.80 or 0.19% to 18,086.45, as shares in Intel Corporation (NASDAQ:NASDAQ:INTC), Chevron Corporation (NYSE:NYSE:CVX) and Boeing Company (NYSE:NYSE:BA) weighed.
The NASDAQ, meanwhile, closed at near-session highs after setting a slew of records on the session. The NASDAQ soared 46.96 or 0.91% to close at 5,210.14, eclipsing the previous all-time closing record of 5,160.09 from June 23. Following Friday's surge, the NASDAQ is now up by more than 10% year to date.
Data on Friday showed that U.S. consumer prices rose 0.3% in June, the fifth consecutive monthly increase, while core prices, which exclude food and energy, increased 0.2% last month, adding to signs of firming inflation.
A separate report showed that U.S. housing starts surged 9.8% to 1.174 million units in June. Analysts had expected housing starts to increase by 6.2% last month.
Meanwhile, U.S. building permits jumped 7.4% to 1.343 million units in June, the most since July 2007, pointing to a rapidly strengthening housing market.
Federal Reserve Chair Janet Yellen said earlier in the week that the central bank was on track to raise interest rates by the end of the year if the economy continues to grow as expected.
Euro zone ministers agreed on Thursday to give Greece a €7 billion bridging loan from a European Union-wide fund to keep its finances afloat until a bailout is approved.
The news came after the ECB increased its emergency lending to Greek banks by €900 million and added that it is operating under the assumption that Greece will remain in the euro zone.
In the week ahead, market players will focus on U.S. data on home sales and jobless claims for further indications on the strength of the economy and the timing of an interest rate hike.
Manufacturing data from China, the euro zone and the U.S. will also be in focus. On Monday, Canada is to report on wholesale sales.