Inflation is proving stickier than expected, which could cause Fed to hit pause button on more interest rate cuts.

U.S. Consumer Price Index report, due out on Wednesday, is expected to reveal a nudge upward in the headline inflation rate, while the core remained steadfast. With recent remarks from Federal Reserve officials signaling a more cautious and gradual approach to interest-rate cuts on the back of resilient economic data,

Inflation in Germany, as measured by the change in the Consumer Price Index (CPI), rose to 2.6% on a yearly basis in December from 2.2% in November, Destatis' flash estimate showed on Monday. This reading came in above the market expectation of 2.4%.