Most Asian markets open higher ahead of Bank of Korea rate decision, China inflation data

After spending most of the day in the red, the S&P 500 eked out a gain in the final minutes of the session. Volumes were light — more than 20 percent below the 30-day average — with much of Europe still shuttered for holidays ahead of Tuesday’s reopening. The Nasdaq 100 pared losses into the close, ending marginally lower as an Apple Inc. report that personal computer shipments fell sharply weighed on the tech-heavy benchmark.

Australian bonds opened lower Tuesday, following declines in Treasuries on Monday as well as losses in a shortened session Friday after a strong US hiring report. The yield on the 10-year bond rose six basis points to 3.24 percent in Sydney.

The yield on two-year Treasuries eased about two basis points after climbing Monday as traders continued to mark up chances of another quarter-point Fed hike in May. Swap contracts repriced to levels indicating about 80 percent odds of a quarter-point hike on May 3, up from 75% on Friday. After the Fed set its policy band at 4.75 percent-5 percent on March 22, the odds of a May rate hike almost vanished amid a collapse in bank shares after several institutions failed.

Chinese inflation data will be in focus Tuesday, with expectations of a weak reading on consumer prices and deflation in factory-gate prices will keep the stimulus option open for the central bank.

In South Korea, policymakers are widely expected to keep rates on hold, with 15 out of 16 economists predicting the benchmark interest rate will stay at 3.5 percent, for the second meeting in a row.

Traders upped wagers on a May rate hike in the US ahead of Wednesday’s report on consumer prices, which is expected to show a 0.4 percent monthly increase in core CPI. Wells Fargo & Co, JPMorgan Chase & Co and Citigroup Inc. kick off reporting for the banking sector Friday, offering insights on the health of the financial system.

In a report Monday, the International Monetary Fund put forward that rates in the US and other industrial countries will revert toward ultra-low levels instead of the 1.5 percent to 2 percent real neutral interest rate former US Treasury Secretary Lawrence Summers has suggested.