Reuters

Japanese government bonds slipped on Tuesday, pressured by U.S. Treasuries and weaker-than-expected demand at a 10-year JGB sale.

Asian shares were subdued on Tuesday as investors’ rotation out of technology shares took a toll on some of the region’s tech heavyweights although hopes of a major tax cut in the United States underpinned risk sentiment.

Oil markets rose in early Asian trade on Tuesday, buoyed by expectations of a drop in U.S. crude stockpiles and after last week’s deal between OPEC and other crude producers to extend output curbs.

British Prime Minister Theresa May failed to strike a Brexit divorce deal with EU negotiators in Brussels on Monday despite earlier reports of a breakthrough agreement that would have kept British-ruled Northern Ireland aligned with EU regulations.

The leader of Germany’s Social Democrats (SPD) said on Monday he would launch talks with Chancellor Angela Merkel’s conservatives on forming a government next week if members of his center-left party gave him the green light at a congress this weekend.

New orders for U.S.-made goods fell less than expected in October and shipments of core capital goods were much stronger than previously reported, pointing to sustained strength in manufacturing that should buoy the economy.

Britain agreed on Monday to keep Northern Ireland in “regulatory alignment” with the European Union after Brexit, Irish government sources said, raising hopes Prime Minister Theresa May can strike a deal in Brussels to start free trade talks.

Oil fell on Monday after U.S. shale drillers last week added more rigs but prices still held close to their highest since mid-2015, supported by an extension to output cuts agreed last week by OPEC and other producers.

Sterling jumped to a one-month high against the euro on Monday after a member of the European Parliament’s Brexit group said there was a “very good chance” of a deal on an initial divorce package between Britain and the European Union.

European stocks rallied strongly on Monday after the U.S. Senate passed a tax package delivering significant fiscal stimulus, which investors had anticipated would give extra legs to the bull run in equity markets.