PARIS (Reuters) - The main European stock markets were up in early trading on Monday, ahead of the release of U.S. inflation data, which could change interest rate expectations.

In Paris, the CAC 40 gained 0.45% to 7,161.71 points around 08:30 GMT. In London, the FTSE 100 gained 0.27% and in Frankfurt, the Dax advanced by 0.2%.

The short-term direction of the markets could be determined by the release of US consumer price and retail sales data for January, on Tuesday and Wednesday respectively.

For the first time in three months, the CPI price index may have accelerated its rise, according to the Reuters consensus, a change in trend likely to confirm the Federal Reserve's talk of further monetary policy tightening.

The yield on ten-year U.S. Treasuries was stable at 3.7454%, holding close to the five-week high reached on Friday on the prospect of the Fed's restrictive policy being maintained for an extended period.

Among stocks, Airbus gained 1% after reports that Air India had sealed a historic order with the European aircraft manufacturer and Boeing for more than $100 billion at list price. Thales advanced by 1.14%.

Orpea climbed 25.24% after announcing organic annual sales growth of 5.5% and indicating that the risk of a liquidity shortfall had now been postponed until the end of the second quarter.

(Laetitia Volga, edited by Blandine Hénault)