Economists polled by Reuters expect CPI readings due on Tuesday to show headline prices and core CPI rising 0.5% and 0.4% in January from the previous month, respectively. However, some readjusted their expectations for a slightly lower CPI on Monday.
Asian shares edged higher on Tuesday, while the yen pared losses as Japan named a new central bank governor.
US Secretary of State Anthony Blinken is considering meeting with top Chinese diplomat Wang Yi at the Munich Security Conference starting this week, sources said, adding to the contributed to the positive momentum.
This will be their first face-to-face meeting since the US shot down an alleged Chinese spy balloon and other flying objects.
Meanwhile, the deep freeze on UK assets is being unfrozen.
Ten-year treasury bond yields drop base points so far 10 fell to 3.4%, one of the largest reductions in government financing rates among G7 countries 1. Advanced economies.
The Bank of England will raise borrowing costs for the current cycle one last time next month in response to double-digit inflation, a Reuters poll published on Tuesday showed. And the economy is almost certain to enter a recession.
In Italy, Prime Minister Georgia Meloni and her coalition allies won sweeping elections in two of the richest countries in the country’s most important areas, strengthening the right’s grip on power.
Meanwhile, Qatari investors are preparing to bid for Premier League club Manchester United in the next few days, Bloomberg reports.
Major developments that could affect the market on Tuesday:
European Economic Data: Eurozone Q4 GDP Flash, UK Dec Employment, Jan Unemployment
Our CPI numbers are due: Jan CPI – Core CPI forecast +0.4%, Dec +0.3%, +5.5% YoY, +5.7% 52