1.   A stronger lira, slower inflation and sluggish economic growth provide the right conditions for the Bank of Italy to cut rates, traders and analysts said.

2.   But that is actually a slower inflation pace than earlier.

3.   Chinese companies are optimistic that slower inflation will produce fatter profits.

4.   Even so, slower inflation boosts the relative value of the cashflows of mortgage securities and other fixed-income investments.

5.   Evidence of faltering economic growth, suggesting slower inflation, reinforced expectations that interest rates can be cut again soon.

6.   German government bonds were little changed, as confidence in slower German inflation and prudent Bundesbank monetary policy helped bunds resist a slide in U.S. Treasuries.

7.   Gold stocks fell as the price of gold was pushed down to a three-month low amid signs of potentially slower inflation.

8.   German wholesale prices rose in the month to December, meeting expectations of slower inflation while dulling optimism that German interest rates will be cut again soon.

9.   Hopes for slower inflation were helped by news that the largest contribution to monthly price increases came from motoring costs, including gasoline prices.

10.   Hopes of slower inflation were boosted by consumer price reports from three key German states.