Dear Reader,

Today's overview of economic news and market action

• There was a mixed tone to investor sentiment yesterday …
• Euro Stoxx 50 gained 0.6%, while the S&P 500 was flat …
• On currency markets, the main pairs were range bound …
• Reflected by EUR/GBP opening in the top half of 85-86p once again …
• EUR/USD opens at the midpoint of $1.08-1.09 …
• GBP/USD is near the halfway mark of $1.26-1.27 …
• Today, the macro-calendar is relatively sparse …

Eyes on ECB for June Signal

The Eurozone economy essentially flat-lined for five consecutive quarters between the end of 2022 and throughout last year. For the year as a whole, GDP rose by just 0.5% in 2023, down from 3.5% in 2022.

Service sector gains growth momentum in March

The latest AIB PMI® survey data indicated a further acceleration in Irish service sector growth in March, following February's rebound in growth.

BoE gradually moving towards cutting interest rates

The March meeting of the Bank of England’s Monetary Policy Committee (MPC) saw the central bank keep its key interest rate unchanged at 5.25%. This decision was very much in line with market expectations.

PMI jumped to 52.2 in Feb, its highest level since June 2022. A sharp rise in output and employment, alongside growth in new orders were the key features of the survey.