Main currencies steady

The main currencies are broadly steady this morning with the euro and sterling trading just above $1.2050 and a little below $1.39 against the dollar respectively, while the single currency-pound exchange rate remains just under 87p

Equity markets in Europe and the US closed marginally higher yesterday, as did German and US bond yields with 10-year yields ending the day at -0.25% and 1.57% respectively

The IFO index of the business climate in Germany rose for a third consecutive month in April and is now back above its pre-pandemic level, though there was a warning that supply “bottlenecks..are impeding’ the country’s economic recovery

Italy’s Prime Minister, Mario Draghi, has unveiled a EUR 261bn spending plan – largely using EU funds – which he says would boost output (GDP) by around 3.5% by 2026

Data due today includes consumer confidence and house prices in the US and the CBI retail sales survey in the UK