Here is what’s on the economic calendar in Asia today - China inflation (January)

2330 GMT Australia – Westpac leading indicator for January

• prior -0.03% m/m

0130 GMT China inflation figures for January

• China CPI expected 1.0% y/y, prior 1.5%

• PPI expected 9.5% y/y, prior 10.3%

Surging prices at the wholesale level have not, so far, translated into much higher consumer level prices. If the People's Bank of China wants to provide looser monetary policy the CPI is not standing in the way. Yesterday the PBoC left the rate on its 1 year operation unchanged, which probably means the 1 and 5 year loan prime rates (LPR) setting due on the 20th will also remain as is:

• PBOC inject 300bn yuan via a 1 year MLF - rate unchanged at 2.85%

0430 GMT Japan – Tertiary Industry Index m/m for XXX

• expected 0.4%

• prior 0.5%

This economic indicator basically measures the total value of services purchased by Japanese businesses over the month.