Dear Reader,

Today's overview of economic news and market action

• Risk-off tone to sentiment yesterday …
• Data-wise, Eurozone HICP inflation fell to 1.8% in September …
• On the currency front, the dollar was in the ascendancy …
• This sees EUR/USD open down near the midpoint of $1.10-1.11 …
• GBP/USD is operating bac below the $1.33 threshold …
• EUR/GBP remains in the bottom half of 83-84p …
• Relatively quiet data calendar today …
• Remarks from ECB officials will be in focus …

All rates quoted are indicative market rates.

Budget 2025 is set against exceptional budget surpluses. The starting point is a nearly €24bn surplus in 2024, including windfall proceeds from Apple Judgement of €14bn this year. The budget surplus is forecast to be €23.7bn in 2024 (7.5% of GNI*), and €9.7bn in 2025 (2.9% of GNI*). However, excluding windfall receipts, the Government will run significant deficits in the coming years