New home sales in the U.S. saw a substantial increase in the month of March, according to a report released by the Commerce Department on Tuesday. The report said new home sales spiked by 7.4 percent to an annual rate of 682,000 in March after soaring by 8.9 percent to an annual rate of 635,000 in February. Economists had expected new home sales to come in at an annual rate of 668,000.

A report released by the Institute for Supply Management on Tuesday showed a slight slowdown in the pace of growth in U.S. service sector activity in the month of April. The ISM said its services PMI slipped to 53.6 in April after falling to 54.0 in March, although a reading above 50 still indicates growth. Economists had expected the index to edge down to 53.7.

With imports increasing by modestly more than exports, the Commerce Department released a report on Tuesday showing the U.S. trade deficit widened roughly in line with economist estimates in the month of March. The Commerce Department said the trade deficit grew to $60.3 billion in March from a revised $57.8 billion in February.

The Reserve Bank of Australia raised its key interest rate by a quarter basis point for the third straight meeting as inflation is expected to remain above the target as the war in the Middle East pushed up fuel prices. The RBA policy board, led by Governor Michele Bullock, decided to lift the cash rate target by 25 basis points to 4.35 percent in a split vote on Tuesday, in line with economists

Indonesia's economy grew at the fastest pace in more than three years in the first quarter as government stimulus measures supported the nation amid the adverse effects of the war in the Middle East. Gross domestic product logged an annual growth of 5.61 percent in the first quarter, surpassing the 5.39 percent expansion registered in the fourth quarter, Statistics Indonesia said Tuesday.

New orders for U.S. manufactured goods increased by much more than expected in the month of March, according to a report released by the Commerce Department on Monday. The Commerce Department said factory orders jumped by 1.5 percent in March after rising by an upwardly revised 0.3 percent in February.

Eurozone investor sentiment improved unexpectedly in May, driven by investor expectations that the conflict with Iran would not escalate further, a survey conducted by the behavioral research institute Sentix showed Monday. The investor sentiment index rose to -16.4 in May from -19.2 in April. The score was forecast to fall to -20.9.

The euro area factory activity expanded at its strongest pace in nearly four years in April as manufacturers front-loaded their orders due to fears of the war-induced price increases and supply shock, final data from S&P Global showed Monday. The manufacturing Purchasing Managers' Index rose to a 47-month high of 52.2 in April, in line with flash estimate, from 51.6 in March.

The Canadian dollar weakened against other major currencies in the Asian session on Monday, as the decline in crude oil prices following the commencement of Operation Freedom by President Trump.

Final manufacturing Purchasing Managers' survey and Sentix investor confidence from the euro area are the top economic news due on Monday. At 3.15 am ET, S&P Global publishes Spain's manufacturing PMI survey results. The factory PMI is forecast to rise to 49.5 in April from 48.7 in the previous month.