Market awaits US inflation data to gauge Fed's next move.

This week, investors will be focused on first quarter earnings reports from major banks including JPMorgan, Wells Fargo, Citi, and BlackRock. Additionally, Wednesday's Consumer Price Index (CPI) data will be closely watched for signs of inflation, with expectations for a 0.2% rise in headline inflation and a 0.4% rise in core inflation. The Fed is expected to raise interest rates by 0.25% on May 3, with a 70% chance according to CME Group data. Deposits have been flowing out of the U.S. banking system, with smaller regional banks offering updates on deposit outflows.