Stock index futures pointed to mixed open on Wall Street on Monday, with futures for the S&P 500 down 0.05 percent, Dow Jones futures up 0.03 percent and Nasdaq 100 futures down 0.06 percent at 0853 GMT.
The dollar edged up, supported by higher Treasury yields after improving U.S. data last week.
U.S. Treasuries fell in Asia, with 10-year yields hitting a six-month high as investors kept dumping Treasuries on the back of higher growth and higher deficits in the United States.
European shares extended their two-week rally on Monday, reaching a 26-month high in the wake of upbeat U.S. and Chinese data.
Data published over the weekend showed China's industrial output in November beat expectations with a slight acceleration to 13.3 percent year-on-year growth from 13.1 percent in October, sending copper to a record high.
The data also showed China's headline inflation climbing to a 28-month high of 5.1 percent in the year to November, from 4.4 percent in October.
Worries that China would lift interest rates over the weekend because of rising inflation were not realized. Instead, sources told Reuters on Monday a selective increase in required reserves for Chinese banks that was due to expire this week will be extended for another three months.
Oil prices were higher on Monday after the Organization of the Petroleum Exporting Countries agreed at the weekend to keep crude oil output levels flat.
The Financial Times said on Monday that European officials are considering plans to overhaul the euro zone's 440 billion euro rescue fund and use it to buy bonds of distressed
governments, making it easier to help debt-swamped countries without resorting to fully-fledged bail-outs.
President Barack Obama's tax deal with Republicans will likely win grudging passage in the U.S. Congress, backers and critics agreed on Sunday, after Obama clashed with liberals in his own party who branded it a giveaway to the rich.
Wal-Mart Stores Inc
Capital Shopping Centres
Grocery store chain Great Atlantic & Pacific Tea Co
General Electric Co
U.S. stocks rose on Friday, with the S&P 500 at its highest level since the week Lehman Brothers collapsed in 2008, and breaching technical levels that suggest the year-end rally will persist.
The Dow Jones industrial average <.DJI> added 40.26 points, or 0.35 percent, to 11,410.32. The Standard & Poor's 500 <.SPX> gained 7.40 points, or 0.60 percent, to 1,240.40. The Nasdaq Composite <.IXIC> rose 20.87 points, or 0.80 percent, to 2,637.54.
(Reporting by Blaise Robinson; Editing by Louise Heavens)