Morning Bid: Is China exporting deflation?

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Morning Bid: Is China exporting deflation?
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A look at the day ahead in European and global markets from Tom Westbrook

That's likely welcomed since analysts are making their latest upward revisions to U.S. and European interest rate expectations and do not need another inflationary shock from China's reopening.

As some of the dust settles on U.S. Federal Reserve Chairman Jerome Powell's hawkish testimony at Congress, Fed funds futures steadied, perhaps a signal economists - who have been jacking interest rate forecasts toward a peak near 5.75% or 6% - may finally have done enough. The Bank of Japan concludes a two-day meeting on Friday, though it is increasingly dancing to its own beat.

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