Dear Reader,

Today's overview of economic news and market action: 

• The positive tone to risk appetite at the start of the week evaporated yesterday …
• On FX markets, the dollar remained under pressure …
• Meanwhile, the euro was holding a firmer tone …
• This sees EUR/USD open today above the midpoint of $1.18-1.19, having registered a fresh YTD high yesterday …
• GBP/USD is up at the halfway mark of the $1.36-1.37 range …
• Meantime, EUR/GBP is at the top end of 86-87p …
• Later today, the focus will be on the Fed FOMC policy announcement, due after the European close …

All rates quoted are indicative market rates.

The ECB’s Governing Council meeting for September saw the central bank leave interest rates on hold for a second consecutive occasion. The deposit and refi rates were maintained at 2.00% and 2.15%, respectively. The ‘unchanged rates’ outcome was widely expected by markets.