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Today's news headlines: 

‘NHS Covid app tweaked to reduce number of people self-isolating’. Following the staff shortages and weeks of uncertainty created by the ‘pingdemic’, the government has taken measures to ease the pressure. Currently, the NHS Covid app alerts someone if they have been in close contact with someone that has tested posted five days prior to the result. The changes are expected to bring this lag time to just two days. This comes as many have begun deleting the app in order to avoid self-isolation; it's believed only 40.0% of the adult population are currently using the app as intended. (Financial Times) 

‘Bank of England confronts policy dilemma over inflation surge’. The Bank of England has been somewhat adamant that inflation of 2.0% and a short period of overshooting is to be expected in the coming months. Markets are patiently waiting for the meeting of the Monetary Policy Committee this Thursday, with expectations for unchanged interest rates of 0.10% and the asset purchase facility to remain stable at £875bn. More hawkish comments are beginning to emerge, but the policy of 'wait and see' doesn’t seem to be unwinding just yet. (Financial Times) 


Today

The FTSE gained 0.70% yesterday as sentiment began to lift after the tech crackdown in China last week. Sterling is ticking higher this morning, lifting above $1.39 against the US Dollar and changing hands above €1.17 against the Euro. Data is on the light side today, with the BoE in focus this Thursday. 

Events

Japan Tokyo Core CPI y/y: 0.10% vs 0.0% last month
Australia Interest Rate Decision: 0.10% vs 0.10% previously
Eurozone PPI m/m: 10:00AM
Canada Manufacturing PMI: 2:30PM
FOMC member Michelle Bowman speaks: 7:00PM
New Zealand Unemployment Rate: 11:45PM

Interbank rates:

GBP/USD – 1.3894
GBP/EUR – 1.1700
EUR/USD – 1.1873
USD/CAD – 1.2518

The markets are moving. To speak to our team, please call +44 (0)20 3465 8200.