In Asian Equity Markets Japan’s Nikkei share average fell to a one-month low on Tuesday, led by weakness in Apple suppliers, while mining shares under-performed on lower oil prices. The Nikkei ended 1.4 percent lower at 23,291.97, the lowest closing level since Dec. 29. Apple Inc suppliers lost ground after the iPhone maker’s shares fell 2.1 percent on news that it will halve production of its $999 iPhone X. Murata Manufacturing and Taiyo Yuden both shed 1.9 percent. Inpex Corp fell 2.6 percent and Japan Petroleum Exploration Co fell over 6.1 percent after U.S. oil prices slipped on Tuesday. Down Under, the S&P/ASX 200 was lower by 0.9 percent on broad-based weakness across sectors. The heavily-weighted financials sector was in negative territory and mining names were mostly lower. Hong Kong’s Hang Seng Index slid 0.83 percent, with gains in some property developers offset by losses in energy-linked stocks and tech names.

In Currency Markets the US dollar held above a recent three-year low against a basket of major currencies on Tuesday, with traders turning their attention to U.S. President Donald Trump’s State of the Union speech and a Federal Reserve policy meeting for catalysts. The dollar rose 0.1 percent against a basket of six major currencies to 89.430, having pulled up from a low of around 88.43 set last week, its weakest level since December 2014. The euro eased 0.1 percent to $1.2373, edging away from a three-year high of $1.2538 touched last week. Against the yen, the dollar eased 0.2 percent to 108.78 yen, edging back in the direction of a 4-1/2 month low of 108.28 yen set on Friday. The yen has risen in recent weeks, after the Bank of Japan reduced its buying of long-dated government bonds in market operations earlier this month, sparking speculation of an eventual exit from its large stimulus.

In Commodities Markets oil prices fell on Tuesday for a second day as rising U.S. output and a strengthening dollar sapped demand for crude, pushing Brent below $69 a barrel for the first time in six days. Brent crude futures, the global benchmark, had declined 49 cents, or 0.7 percent, to $68.97 a barrel, after earlier falling as low as $68.91. The contract for March delivery settled down $1.06, or 1.5 percent, at $69.46 a barrel on Monday. U.S. West Texas Intermediate crude futures fell 70 cents, or 1.1 percent, to $64.86 a barrel. On Monday, they fell 58 cents, or 0.9 percent, to $65.56. Prices are still heading for a fifth straight monthly gain. Gold fell for a second straight session on Tuesday. Spot gold was down 0.3 percent at $1,335.93 per ounce after Monday’s 0.7 percent decline, while U.S. gold futures were 0.4 percent lower at $1,334.20 per ounce. Gold prices have risen 2.5 percent so far this month, largely due to a weakness in the dollar.

In US Equity Markets indexes pulled back from record highs on Monday, with the Dow and the S&P 500 indexes marking their biggest one-day percentage declines in about five months, weighed down by a slide in Apple shares. Shares of Apple fell 2.1 percent on news that the company will halve production of its $999 iPhone X smartphone. The S&P technology index fell 0.9 percent and was the biggest drag on the benchmark index following Wall Street’s strongest four-week run since 2016. The S&P 500 lost 0.67 percent, to 2,853.53 and the Nasdaq Composite fell 0.52 percent, to 7,466.51. Telecom stocks also slipped on reports that the U.S. government was considering building a 5G wireless network to guard against spying. AT&T was down 1.5 percent, Verizon slipped 1.1 percent and Sprint pulled back by 1.9 percent. Dr Pepper Snapple Group jumped to an all-time high after K-cup maker Keurig Green Mountain said it will buy the company in a deal worth more than $21 billion. The stock ended up 22.4 percent at $117.07.

In Bond Markets U.S. Treasury yields jumped to more than three-year highs on Monday after comments from a European Central Bank official added to expectations that central banks globally will reduce stimulus as the economic outlook improves. Ten-year note yields reached a peak of 2.727 percent, the highest since April 2014. Central banks are removing support for bond markets as the economic outlook brightens. The yield 10-year Treasuries closed up two basis points at 2.71 percent, the highest since April 2014. Some economists expect the Federal Reserve to raise its economic assessment when it concludes its two-day meeting on Wednesday. That could increase the probability that the U.S. central bank raises interest rates four times this year. On Wednesday the Treasury Department is expected to announce the first increases in the size of its debt auctions since the financial crisis.

Today’s inflection points

• 11:00 GMT+1 EUR Business climate indicator
• 11:00 GMT+1 EUR Industrial confidence
• 11:00 GMT+1 EUR Economic confidence
• 11:00 GMT+1 EUR GDP, preliminary
• 16:00 GMT+1 USD Conference Board consumer confidence
• 17:30 GMT+1 EUR ECB’s Mersch speaks in Frankfurt