Global shares mixed as markets watch omicron, central bank

Some economists had expected a loss of jobs amid Januarys surge in coronavirus infections because of the omicron variant.

Shares were higher Monday in Europe after a mixed trading session in Asia, where the Shanghai benchmark jumped after reopening from the Lunar New Year holidays. France's CAC 40 added 0.3% in early trading to 6,968.99, while Germany's DAX edged up 0.4% to 15,153.17. 

Britain's FTSE 100 gained 0.4% to 7,546.10. The future for the Dow Jones Industrial Average lost 0.4% to 34,848.0. The S&P 500 future was 0.3% lower, at 4,477.25. 

Tensions over Ukraine persist with French President Emmanuel Macron set to hold talks in Moscow on Monday with Russian President Vladimir Putin before visiting Ukraine T later Monday to try to de-escalate the situation. 

Macron spoke with President Joe Biden on Sunday. Investors also are watching for moves by central banks in India, Indonesia and Thailand, which are all set to decide on monetary policy within the week. 

In Asian trading, Japan's benchmark Nikkei 225 lost 0.7% to finish at 27,248.87. Australia's S&P/ASX 200 slipped 0.1% to 7,110.80. South Korea's Kospi declined 0.2% to 2,745.06. 

Hong Kong's Hang Seng was little changed, inching up less than 0.1% to 24,579.55, while the Shanghai Composite added 2% to 3,429.58. This week brings earnings reports from some of the region's biggest companies, including Japanese automakers. 

They may provide updates on shortages of computer chips and other disruptions and pressures related to the pandemic. Surging COVID infections in the region because of the omicron variant are also weighing on sentiment. 

Much of Japan is under a government-backed request for restaurants and bars to close early to slow the explosive growth in cases and hospitalization. Although about 80% of the Japanese have gotten two coronavirus shots, only about 5% have received the booster. 

Prime Minister Fumio Kishida is expected to announce an initiative to ramp up inoculations, Japanese media reported. On Friday, The S&P 500 gained 0.5% to 4,500.53. 

The Dow Jones Industrial Average slipped 0.1%, to 35,089.74 after a last-minute burst of selling. The Nasdaq composite rose 1.6% to 14,098.01. 

The three indexes posted a weekly gain for the second week in a row. Smaller stocks in the Russell 2000 rose 0.6% to 2,002.36. 

The US Labour Department said employers added 467,000 jobs last month, triple economists' forecasts. Some economists had expected a loss of jobs amid January's surge in coronavirus infections because of the omicron variant. 

Treasury yields leaped following the jobs report's release, tracking forecasts that the Fed will hike short-term interest rates more aggressively than earlier expected. 

"With the release of most major tech earnings, the Fed's policy outlook may once again take center stage in the new trading week,'' Jun Rong Yeap of IG said in a commentary. 

Market watchers also will be eyeing fresh U.S. inflation data and jobless claims, due on Thursday.

The 10-year Treasury was at 1.90% on Monday, down from 1.92%. In energy trading, benchmark U.S. crude fell $1.10 to $91.21 a barrel in electronic trading on the New York Mercantile Exchange. It surged $2.04 on Friday to $92.31. 

Brent crude, the international standard, slipped 69 cents to $92.58 a barrel. In currency trading, the U.S. dollar fell to 115.17 Japanese yen from 115.28 yen. The euro cost $1.1446, down from $1.1461.