• The dollar gained on Tuesday, taking its cue from higher U.S. Treasury yields as investors awaited minutes from the Federal Reserve's latest meeting for signals to the pace of interest rate hikes.
The dollar rose 0.5 percent to 113.64 yen JPY=, moving back toward its two-week peak of 114.955 yen touched last Wednesday.
The dollar index, which tracks the U.S. unit against a basket of six major rival currencies, rose 0.3 percent to 101.210 .DXY.
• Italy poses the greatest threat to stability of the euro area in spite of the impending presidential elections in France, according to analysts at Deutsche Bank.
Italy's former Prime Minister Matteo Renzi resigned as leader from the ruling Democratic Party (PD) on Sunday which appears to have sounded the alarm that a formal party split could be in the offing.
The increased likelihood of a PD party split, which has now become Deutsche Bank's base case scenario, has resulted in the yield spread between Italy and Germany's year bonds widening by the most since February 10-2014.
• Meanwhile, in France, elections for the new French President are due to take place in a two round process beginning in April and ending in May. Marine Le Pen, leader of the anti-establishment National Front party, has promised to renegotiate the terms of France's membership of the European Union if elected president, though her chances of success appear limited.
• The likelihood of more monetary stimulus in Japan is diminishing, according to a Reuters poll of economists who were largely split on the central bank's next policy move, signalling a possible turning point in expectations for its easing cycle.
• U.S. crude futures rose for a second day on Tuesday, with data showing hedge funds are betting big across oil markets following OPEC production cuts agreed last year.
U.S. West Texas Intermediate crude CLc1 was up 27 cents, or 0.5 percent, at $53.67 a barrel 0511 at GMT ( 12:11 a.m. ET), after rising about 0.5 percent in a shortened session on Monday due to a U.S. national holiday.
Brent futures LCOc1 dropped 2 cents to $56.16 a barrel, after spending most of the session slightly higher. They ended up 0.7 percent on Monday.
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