Asian equities moved modestly higher on Monday, with Chinese markets leading gains before key July economic data, as softer U.S. indicators reduced expectations for a near-term Federal Reserve rate increase. MSCI's broadest Asia-Pacific share index outside Japan rose 0.5%, Japan's Nikkei added 0.3%, Chinese blue chips climbed 0.8% and Hong Kong's Hang Seng advanced 1.6%. Markets were focused on China's upcoming activity data, where forecasts pointed to industrial output growth slowing to 4.8% from 5.3%, though strong export performance linked to global AI demand raised the possibility of an upside surprise. The U.S. dollar weakened toward two-month lows after disappointing retail sales and weaker consumer sentiment prompted traders to cut the implied probability of a Fed hike next month to 30% from about 50% a week earlier, according to CME Group's FedWatch tool. Oil prices were mixed after sharp gains last week as the Gulf conflict remained unresolved, with Brent at $88.67 a barrel and U.S. crude at $82.19. AMP chief economist Shane Oliver said his base case was for oil to remain in a $70-$100 range, but warned prices could stay higher if Middle East oil flows remain 10%-15% below normal and reserves fall. U.S. stock futures edged up, Treasury yields slipped, the euro touched $1.1588, the Australian and New Zealand dollars hit 10-week highs, and gold rose 0.4% to $4,391 an ounce.