Asian and European markets mostly rose Tuesday fuelled by optimism the Federal Reserve will slash interest rates this year, with gains led by a record high in Tokyo while gold also hit a fresh peak.

Last month’s big miss on US jobs creation raised concerns about the strength of the world’s top economy, but it has stoked bets that the central bank will loosen monetary policy, even as inflation remains stubbornly above its target.

Investors are awaiting the release of fresh data on prices this week to get a better idea about the Fed’s next move, with Bloomberg reporting that expectations are for three quarter-point reductions before the end of the year.

Hopes for a move were boosted last month when Fed Chair Jerome Powell signalled a dovish pivot in a speech to an annual gathering of cent

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