Consumer confidence plummets

Today’s news headlines:

  • ‘Consumer confidence plummets to 2008 levels after UK lockdown’ – Gfk’s consumer confidence index, released overnight, indicates that government measures to prevent the spread of coronavirus has left UK households fearful over the state of their personal finances and the health of the economy. The index fell from -7 to -34, just under the all-time low of -37 recorded in July 2008. (Financial Times)

  • ‘Europe prepares to ease coronavirus lockdowns’ – Some major European nations are beginning to plan how best to remove some of the lockdown conditions currently in place without risking a wave of new infections. Committees have been set up in France, Spain, Belgium and Finland to explore the gradual easing of stay-at-home orders for some businesses and schools. Meanwhile, Spain extended their shutdown for a further two weeks, but the prime minister said that a ban on all non-essential work would be lifted after Easter. (Financial Times)

Today's events, rates, and data 

  • The Pound fell overnight as UK prime minister Boris Johnson was taken to hospital for precautionary tests having contracted Covid-19 ten days ago. There was a slight increase in risk appetite as European and US stock futures gained whilst Gold, the Yen and treasuries all fell. This shift in sentiment may be because countries such as Spain, Italy and France all reported declines in coronavirus deaths.

Today's events

German Factory Orders: -1.4% versus 4.8% last month

UK Construction PMI                 9.30am
BOC Business Outlook Survey  3.30pm

Interbank rates:

GBPUSD: 1.2266

GBPEUR: 1.1347

EURUSD: 1.0811