Societe Generale in its early Tuesday economic news summary pointed out:

-- US dollar rally stalls, 10-year United States Treasury retreats from 4.80% high on media reports that President-elect Trump's economic team could gradually raise tariffs by 2%-5% per month to boost negotiating leverage and avoid inflation. Bund crossed 2.60% ahead of benchmark supply, 10-year yields rose for the ninth successive day on Monday. Brent crude consolidates at $80.5/barrel. India's rupee (INR) off record low (85.725).

-- Bank of Japan's Himino: will debate whether to raise interest rates next week as prospects of sustained wage gains heighten and the U.S. policy outlook becomes clearer in Trump's inaugural address. OIS pricing 60% odds of 25bps hike next week at Japan's central bank.

-- Day ahead: U.S. producer price index, NFIB small business optimism, Federal Reserve speakers Schmid and Williams. European Central Bank's Holzmann. Bank of England's Breeden.

-- Nikkei -1.8%, EUR 10-year IRS unchanged at 2.57%, Brent crude -0.8% at $80.4/barrel, Gold +0.3% at $2,669/oz.