Today's news headlines:
‘Clothing and cars pull UK inflation lower’. As inflation looks forecast to rise later in the year, recent CPI data showed a slow in consumer spending to 0.4% in February, down from 0.7% in January. This pull back in spending is due to the 5.6% decline in clothing prices, the sharpest decline since November 2009 in the heights of the financial crisis. Businesses have continued to discount after the January sales due to the cash strain many small and medium sized businesses are facing, as a result of the pandemic. (Financial Times)
‘EU prepares to tighten vaccine export rules after UK spat’. The EU will look to implement rules that will prevent the bloc exporting vaccines to countries that are willing to import from the EU but refuse to export their own vaccine production. This will, in the European Commission’s eyes, help to meet the blocs goal of solving the domestic supply issue while also aiding allied countries in the fight against the virus. These rules could also prevent the exporting of vaccines to countries with a higher vaccination rate than the EU. (Financial Times)
Today's events, rates, and data
Yesterday, US markets nudged lower as the S&P 500 fell 0.76% and the Nasdaq finished the day down 1.12%. The FTSE 100 has followed the trend starting the day, down 0.4% in early trading. Cable continues to weaken as the risk-off mood continues, while the Euro has also fallen against the Dollar.
UK CPI y/y: 0.4% vs 0.7% last month
UK Core CPI y/y: 0.9% vs 1.4% last month
French Flash Services and Manufacturing PMI: 8:15am
German Flash Services and Manufacturing PMI: 8:30am
UK Flash Services and Manufacturing PMI: 9:30am
US Flash Services and Manufacturing PMI: 1:45pm
Federal Reserve Chair Jerome Powell Testifies: 2:00pm
US Crude Oil Inventories: 2:30pm
ECB President Christine Lagarde Speaks: 3:40pm
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