US inflation data will prompt investors to reassess market expectations for a rate cut by the Federal Reserve (Fed), with the market anticipating the first rate cut to occur at the September meeting.

It is forecasted that inflation will ease to 3.4% from 3.5% in March, while core inflation, excluding volatile food and energy prices, is expected to slow to 3.6% from 3.8%.

As for Japan's overall economy, economists predict that Japan's economy will contract by 0.4% after expanding by 0.1% in the fourth quarter of the previous year. Weak GDP growth raises concerns about the future plans of the Bank of Japan (BoJ), which may continue to ease monetary policy.