SYDNEY (Reuters) - U.S. stock futures ticked higher on Tuesday as officials sought to revive what would be a historic meeting between President Donald Trump and his North Korean counterpart, while the euro hovered near 6-1/2 month lows and oil sank.
E-Mini futures for the S&P500 ESc1 gained 0.2 percent and Dow futures 1YMc1 added 0.15 percent. Trade was subdued overnight with market holidays in the world’s two biggest financial centers - London and New York. Singapore markets are closed on Tuesday.
Analysts expect sentiment to improve as South Korean President Moon Jae-in flags more impromptu talks and summits with North Korea’s Kim Jong Un after the pair’s surprise meeting at the weekend.
Kim has reaffirmed his commitment to “complete” denuclearization of the Korean peninsula.
The dollar JPY= was mostly unchanged against the yen at 109.43, having found itself in a narrow range in the past four sessions.
Analysts will next focus their attention on U.S. inflation data due later in the week which could provide clues to future interest rate rises ahead of the Federal Reserve policy meeting next month.
European shares were hammered overnight by worries over an early election in Italy after the anti-establishment 5-Star and League parties abandoned plans to form a government.
Investors feared Italy’s election campaign could focus on the country’s continued membership of European institutions and strengthen the populist parties’ hand.
Political worries also battered Italy’s government bonds, putting renewed pressure on the euro.
The euro EUR=EBS was last at $1.1628 from Monday's $1.1608, its lowest since early November.
“Leaders of the populist Five Star
