Sterling a touch softer

Sterling has lost some ground against the dollar, shedding around 1.5 cents to trade at about $1.14 this morning, and is also slightly weaker against the euro, trading just shy of 88p. The single currency, meanwhile, has slipped back to parity against the dollar

German and UK government 10-year bond yields have nudged down further to 2.15% and 3.45% respectively, while equivalent US yields are broadly flat trading at 4.10%

US stocks sold off yesterday with the S&P 500 losing about 2%, while European stocks have opened on the back foot this morning (down around half a percent in early trading)

Fed member Evans says “there’s benefits to adjusting the pace (of interest rate increases) as soon as we can”, pointing perhaps to a smaller rate hike at next month’s monetary policy meeting following four consecutive 75 basis points moves

Economic data due today includes CPI inflation for October in the US – the consensus expects both the headline and core (i.e. excluding food and energy prices) rates of inflation to have nudged down last month, to 7.9% and 6.5% respectively