Overview

• Asian and European markets saw gains as U.S. President Donald Trump and Russian President Vladimir Putin discussed peace negotiations to end the war in Ukraine.
• Oil prices dropped over 2% as hopes for a peace agreement raised expectations of eased energy supply disruptions.
• U.S. inflation data for January revealed a higher-than-expected 3% annual increase, intensifying concerns about the Federal Reserve delaying further rate cuts in 2025.
• Treasury yields surged, with the 10-year yield reaching 4.62%, as investors adjusted to the likelihood of prolonged high interest rates in the U.S.
• The U.S. dollar strengthened against the yen, while the euro gained amid optimism surrounding the potential resolution of the Ukraine conflict.