India, Jan. 27 -- Global market sentiment improved after days of trade and geopolitical tensions, but caution prevails ahead of the slew of interest rate decisions by major central banks.

The CME FedWatch tool that tracks the expectations of interest rate traders currently shows the likelihood of a quarter percentage rate cut by the Federal Reserve on January 28 at 2.8 percent versus 4.4 percent a day ago.

Wall Street Futures are directionless as markets worry about the Fed's forward guidance. Expectation of a dovish successor to the Federal Reserve Chair limited losses. Benchmarks in Europe are trading on a mostly positive note amidst the recently finalized EU-India landmark trade agreement. Asian markets finished trading on a positive...