Annual inflation in the US remained unchanged at 2.4% in February, according to the latest Consumer Price Index (CPI) data released on Wednesday.

Inflation data scheduled for release Thursday morning is expected to show that price increases remain above the Federal Reserve’s target, marking the final major piece of US economic data affected by the government shutdown.

US inflation remained unchanged at 2.7% in July, defying economists’ forecasts of a rise fueled by tariffs imposed by President Donald Trump on key trading partners.

Treasury yields declined as investors prepared for an important US inflation report that could strengthen arguments for the Federal Reserve to lower interest rates next month.

The US 10-year Treasury yield edged lower on Tuesday after June's core Consumer Price Index (CPI) came in roughly as expected by economists.

Global stocks saw modest gains on Wednesday as traders adopted a cautious stance ahead of U.S. consumer price data, which could impact the country’s monetary policy outlook.

Asian stocks retreated as traders awaited key US inflation data, which could provide insights into whether the Federal Reserve will cut or hold interest rates next week.