<h1>Global markets mixed in thin holiday trading as investors bet on upcoming rate cuts and gradual policy tightening</h1> Global financial markets showed mixed performance in thin holiday trading, with movements largely driven by expectations of future monetary policy. European indices were flat to mildly volatile as investors awaited inflation data, while French growth and Tokyo inflation data reinforced speculation about gradual policy tightening by the European Central Bank and Bank of Japan, respectively. In the United States, recent statements by Federal Reserve officials strengthened market expectations of an interest rate cut at the next meeting, influencing global equity and currency markets. Asian markets reacted to divergent national data, particularly South Korea's sharp industrial and semiconductor production decline, underscoring sector-specific and jurisdiction-specific risk exposures.