World equity markets moved modestly higher on Monday as investors positioned for fresh U.S. inflation data due later this week. Trading was cautious, with sentiment shaped by expectations that the report could influence the path of interest rates and broader risk appetite.

Government bond yields remained close to recent highs, reflecting continued investor focus on inflation pressures and the outlook for central bank policy. The steady yield backdrop suggested markets were still weighing whether price growth is easing quickly enough to support near-term rate cuts.

Analysts said the session pointed to a wait-and-see mood across global markets, with gains limited as traders held back ahead of the U.S. release. For now, equities are edging up, but the next inflation reading is likely to set the tone for stocks, bonds and currencies in the days ahead.