Putin makes a move

Today's news headlines: 

‘Vladimir Putin orders troops into eastern Ukraine after recognising breakaway republics’. Russian military members have been ordered into the Donetsk and Luhansk regions in eastern Ukraine, raising the threat of war. The US and Europe have spoken out regarding this news and had vowed to respond with sanctions. Many US diplomatic staff have been moved to Poland to protect their safety as the situation intensifies. According to the Kremlin, Russian troops are expected to remain in the Donbas region for the foreseeable future. (Financial Times)

‘Boris Johnson announces end of Covid legal restrictions in England’. The UK will move to a “personal responsibility” approach to Covid from the 24th of February as the legal requirement to self-isolate after testing positive for the virus will be abandoned. This comes as case numbers continue to fall, with around 38,000 cases reported yesterday compared with 200,000 during the Omicron wave. Booster shots are expected to continue in the spring as immunity begins to wane among the vulnerable. (Financial Times)


Today

Asian markets moved lower overnight as Russia-Ukraine tensions escalated. European markets are pointing lower this morning while the US Dollar Index ticks higher. Crude oil has gained around 3.50%, while UK gilt yields are mostly lower in early trade.

Events

Bank of Japan Core Consumer Price Index y/y: 0.8% (est. 1.1%)
German ifo Business Climate: 9:00AM
Monetary Policy Committee member David Ramsden speaks: 10:45AM
US flash Manufacturing and Services Purchasing Managers’ Index: 2:45PM
US CB Consumer Confidence: 3:00PM

Interbank rates:

GBP/USD – 1.3558
GBP/EUR – 1.2004
EUR/USD – 1.1294
USD/CAD – 1.2758

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