Euro a touch softer

The euro is a touch softer against both the dollar and the pound, ahead of tomorrow’s ECB meeting, trading close to $1.1750 and just above 90p respectively this morning, which leaves sterling hovering in and around $1.30 against the US currency

Equity markets were on the back foot again yesterday with both European and US stocks losing ground, while core bond yields dipped further taking US 10-year yields back to 0.75% and pushing equivalent German yields down to almost -0.65%

Consumer confidence in the US slipped in October according to the Conference Board measure, although it remains well off its low of April last, reflecting a more downbeat assessment of current labour market conditions

German Chancellor Angela Merkel is pushing for tougher restrictions amid a rising number of COVID-19 cases, including  closing bars, restaurants and leisure facilities until the end of November. Of course, Germany is just one of a number of European countries currently batting a renewed surge in the virus

It is relatively quiet on the data front today with the US trade balance the main release of note