Main currencies little changed

The main currency pairs are largely unchanged this morning with the euro still trading a little below $1.21 against the dollar and just under 87p against sterling, while the pound in turn continues to trade a touch shy of $1.39 against the dollar

Equity markets ended flat to marginally lower yesterday while core bond yields spiked higher in the case of US 10-year yields but were steady on the day in the case of equivalent German yields, though both have risen in early trading this morning to 1.65% and -0.21% respectively

Consumer confidence in the US jumped this month to its highest level since just before the pandemic, helped by a notable improvement in individuals assessment of current labour market conditions

The Fed concludes its two-day meeting today and is likely to leave both interest rates and the pace of its bond purchases unchanged, while reiterating that an accommodative policy will remain appropriate for some time yet

It is quiet on the data front today with the US trade balance for March the only release of note