The UK GDP rebounds in January

US stocks

US stocks rallied on Tuesday despite a rise in bond yields; the S&P 500 set a new record. US inflation data came out higher than expected, suggesting some stickiness. Headline xconsumer price index (CPI) rose 3.2%, against expectations of 3.1%. Core CPI increased by 3.8%. The CME FedWatch Tool shows that market expectations for rate cuts to begin at the Fed's June meeting have eased only a touch to about a 67% likelihood versus 71% earlier in the week. Attention now turns to U.S. retail sales and producer prices due out later this week.

UK GDP

In the UK, gross domestic product (GDP) grew 0.2% in January MoM. Industrial production fell 0.2% in January month-over-month (MoM). At 10 a.m., economists expect the eurozone's industrial production to fall by 1.5% in January month-over-month (MoM), -2.9% year-over-year (YoY).

Metro Bank

Elsewhere on the equity market, Metro Bank posted a profit before tax of £30.5 million and said it is on track to deliver £50 million of annualized cost savings. Balfour Beatty recorded a 2% rise in its underlying profit from operations.

Adidas

Adidas expects a decline in its sales in North America this year, blaming a still overstocked market there. It forecasts growth in all other regions. Volkswagen expects incoming orders in Western Europe to pick up speed in the coming months. The German car maker counts on its new models and its range of electric cars. More than 30 new models have been announced across the group for the current year.

Dollar Tree

Over in the US, Dollar Tree is due to report its quarterly earnings before the market opens. Wall Street expects the discount chain store group to report adjusted earnings of $2.65 per share, to be compared with $2.04 a year ago. Revenue is seen rising by 12.3% to $8.67 billion.

US crude

On Tuesday evening, US Crude stockpiles unexpectedly fell, according to Application Programming Interface (API) data. US crude inventories fell by about 5.5 million barrels last week. Economists were expecting an increase of about 400,000 barrels. The API data also showed that gasoline inventories fell by about 3.8 million barrels, and distillate stockpiles fell by 1.2 million barrels.

The Environmental Impact Assessment

The Environmental Impact Assessment (EIA) forecast that domestic oil production would grow by 260,000 barrels per day in 2024 to 13.19 million bpd. That is 90,000 bpd higher than its previous forecast. The EIA also believes that Organization of the Petroleum Exporting Countries (OPEC+) production cuts will help push the Brent crude oil spot price to average $87 per barrel in 2024, up from its previous forecast of $82.42 per barrel.