Markets are expected to open lower, concerned about Covid in China and US inflation. The Eurostoxx 50 opened at 3,839.62 points (-0.49%), the CAC 40 at 6,555.81 points (+0.12%), the DAX 40 at 14,192.78 points (-0.64%), the FTSE 100 at 7,618.31 points (-0.67%), the SMI at 12,528.61 points (+0.17%), the AEX at 714.74 points (-1.38%), the BEL 20 at 4,188.00 points (-0.79%), the IBEX 35 at 8,585.00 points (-0.25%), the DJIA at 34,308.08 points (-1.19%), the Nasdaq at 13,411.96 points (-2.18%), the S&P 500 at 4,412.53 points (-1.69%) and the Nikkei 225 at 26,311.94 points (-1.90%).

As regarding exchange rates, the change from the close in New York indicates that EUR/USD opens at 1.0884 (-0.02%), EUR/JPY at 136.29 (-0.15%) and USD/JPY at 125.23 (-0.13%).

Europe's main stock exchanges are expected to open sharply lower on Tuesday, as investors fear that Covid-19 lockdown measures in China will exacerbate supply problems and weigh on economic growth. Markets are also concerned about the war in Ukraine and the prospect of a rapid and pronounced tightening of the Federal Reserve's (Fed) monetary policy to combat inflation. At 7:40 a.m., the CAC 40 futures contract lost 65 points, or 1%, according to data from broker IG Markets. The DAX 40 contract was down 178 points, or 1.3%, and the FTSE 100 contract was down 46 points, or 0.6%.

At the same time, the war in Ukraine led to a sharp rise in commodity prices, which exacerbated inflationary pressures around the world. Against this backdrop, investors will be watching closely for the March consumer price index in the United States, expected at 2:30 p.m. According to the forecasts of economists polled by the Wall Street Journal, inflation could reach 8.4% over a year, after 7.9% in February. The White House warned Monday night that inflation is expected to come out at an "extraordinarily high" level in March because of the war in Ukraine, while a survey by the Federal Reserve (Fed) of New York showed that one-year inflation expectations had reached a record high in March. Respondents to this survey believe that inflation in the United States will reach 6.6% in March 2023, compared to 6% expected in February.

Wall Street closed in the red on Monday, penalized by technology stocks, as bond yields continue to rise in anticipation of the Fed's monetary tightening. The Dow Jones Index (DJIA) ended down 1.2% at 34,308.08 points, and the broader S&P 500 index dropped 1.7% to 4,412.53 points. The tech-rich Nasdaq Composite fell 2.2% to 13,411.96 points. In Asia, the main stock exchanges are trading in scattered order on Tuesday. In Tokyo, the Nikkei index was down 1.6% at the end of the session. The Hong Kong Stock Exchange's Hang Seng Index gained 0.9 percent and the Shanghai Composite advanced 1.1 percent.

The sell-off of US Treasury bonds intensified on Monday before the release of US inflation figures and the yield on the ten-year stock recorded its seventh consecutive session of increase to finish at 2.782%, its highest level since January 2019.

The euro retreats Tuesday morning against the dollar which benefits from the general rise in sovereign bond rates. The yield curve for U.S. Treasury bonds widened, with the longest part rising 6 to 9 basis points. The consumer price index in the United States for the month of March is the main indicator expected on Tuesday. Very high inflation in the United States will support expectations of a rapid and sharp tightening of the Federal Reserve's monetary policy, CBA said. A 50 basis point increase in the federal funds rate at each of the next two Fed meetings is not yet fully priced in by the market, implying upside potential for the dollar.

Oil prices rise tuesday morning, with operators doubting that a compromise to revive the Iran nuclear deal will be reached in the short term. The arrival on the market of an additional supply of Iranian oil is unlikely while Tehran said that the nuclear deal signed in 2015 was still valid but was "in the emergency room", indicates ANZ. The United States said the revival of the deal could be delayed given Iran's new demands, the bank added. Meanwhile, some analysts are starting to cut their forecasts, which stand at $130 or more, for a barrel of crude, now that North Sea Brent, the global benchmark for the market, has fallen 23 percent from the nearly 14-year high to $127.98 a barrel reached a month ago. At 7:25 a.m., the June Brent contract gained $2.06, or 2.1 percent, to $100.54 a barrel, while the May contract for light sweet crude (WTI) listed on the Nymex was up $2.16, or 2.3 percent, at $96.45 a barrel.