In Asian Equity Markets the mainland Chinese markets were mixed by the morning session’s end. The Shanghai composite fell 0.32 percent while the Shenzhen composite advanced 0.12 percent. Hong Kong’s Hang Seng index fell 0.37 percent. Japan’s Nikkei 225 Topix both rose slightly in afternoon trade. Shares of Fast Retailing, the company behind the Uniqlo chain of apparel stores, recovered from earlier losses to gain about 1 percent. Japan’s gross domestic product grew at an annualized rate of 1.4 percent in the October to December period last year.

In Currency Markets the U.S. dollar held near three-month highs versus the euro on Thursday, supported by sustained strength in core U.S. inflation and weaker-than-expected data out of Europe. While headline U.S. inflation logged its weakest pace in 1-1/2-years in January, traders focused on the core price gauge, which was up for the third straight month, giving the dollar some impetus. The euro was trading below the psychologically important $1.13 level at $1.1283. Earlier in the session, it hit an intra-day low of $1.1245.

In Commodities Markets oil prices rose on Thursday, buoyed by hopes that potential progress in the latest Sino-U.S. tariff talks would improve the global economic outlook, and as China’s trade figures including crude imports beat forecasts. U.S. WTI crude futures were at $54.16 per barrel, up 26 cents, or 0.5 percent, from their last settlement. International Brent crude oil futures were up 37 cents, or 0.6 percent, at $63.98 a barrel. Optimism that a trade deal could be reached between the United States and China was boosted when U.S. President Donald Trump said talks were going “very well”.

In US Equity Markets indices closed higher on Wednesday as investor optimism was stoked over hopes the United States and China could iron out a trade deal. The S&P 500 gained 0.30 percent, to 2,753.03 and the Nasdaq Composite added 0.08 percent, to 7,420.38. Groupon Inc sank 11.1 percent, one of the biggest losers on the Nasdaq, as reduced traffic led to a fourth-quarter profit miss. General Electric Co advanced 3.9 percent following news the conglomerate booked the most orders for electricity-generating gas turbines in 2018.

In Bond Markets U.S. benchmark Treasury debt yields rose to one-week highs on Wednesday and the yield curve flattened after data showed that core consumer prices rose in January, easing concerns about a drop in inflation. Benchmark 10-year notes fell 7/32 in price to yield 2.708 percent. The yield curve between two-year and 10-year notes flattened to 17 basis points, from 18 basis points before the inflation data. Two-year notes are the most sensitive to interest rate policy.