Euro nudging higher

The euro continues to nudge higher against the dollar – on not much news really – and is now closing in on $1.13, which would be its best level in about 3 weeks. Sterling is drifting lower against the single currency – trading this morning at about 86.5p – and may continue to do so in the vacuum created by MPs who have toddled off on their Easter hols for a couple of weeks, though we’ll be watching out for any developments in the May-Corbyn talks

Bond yields in the core markets edged up yesterday, with UK 10-year yields about 5bps higher at around 1.15% and equivalent US and German yields up about 3bps to 2.5% and -0.2% respectively, while equities were flat to marginally higher on the day

The number of new jobless claimants in the US fell to a 49-year low last week, suggesting the labour market is performing solidly and pointing to a further decline in the unemployment rate

Fed member Clarida says the economy and the stance of monetary policy are both in a good place, suggesting interest rates may remain on hold for some time

Data due today includes industrial production in the Euro area and consumer confidence in the US