Good morning. Here’s what you need to know:
- Major Asian indices were mixed in overnight trading, with the Nikkei up 0.41%. European markets are also mixed, and U.S. futures are lower.
- The NFIB small business index increased slightly. Here’s why the outlook for small business has improved >
- China hiked its key interest rates again this morning, moving the one year lending rate to 6.06% from 5.81%. The deposit rate increased as well, to 3.0%. Don’t miss: What Credit Suisse thinks China will look like in 2015 >
- Brazilian inflation data came in pretty in line with expectations, with year-over-year inflation for January at 5.99%. Chile’s inflation also came in hot as well, at 2.7% year-over-year. Check out more on the situation in Latin America here >
- Eurozone leaders still look likely to go through with their plan for an expansion of the region’s bailout fund, even though they failed to come to any consensus at this weekend’s meeting. It now looks like a “grand bargain” is being planned for next month’s meeting. Are these the next dominos to fall in Europe >
- Toyota has increased its outlook for its current fiscal year, saying it will make 40% more than it originally expected. The company now expects to have a net profit of $5.95 billion for its fiscal year ending in March.
- Xstrata, the mining firm, notched 2010 profits of $6.61 billion, more than a four times increase over its 2009 profits of $1.53 billion. The surge in profit was based on increasing global demand, particularly from China.
- ArcelorMittal reported a Q4 loss of $780 million, down from a $1.1 billion profit the year prior. The loss is the result of weak demand.
- UBS reported weaker than expected Q4 profits, at $1.35 billion. The firm blamed one time charges associated with its debt portfolio for the loss.
- German industrial output came in weaker than expected, falling 1.5% from November to December. Weather was partially blamed for the larger than expected fall. Don’t miss: 10 ways weather is wreaking havoc on the global economy >
- Bonus: Katy Perry says she used to wish she looked like Kate Moss.