Published April 10, 2019
• The European Central Bank announced its latest policy decision this morning, with the main refinancing operations and the interest rates on marginal lending remaining unchanged at 0.00% and 0.20%. Optimism has faded that the central bank will announce imminent measures to help Europe’s lenders navigate negative interest rates.
• The US Consumer Price Index is due this morning with economists expecting the pace of prices to have quickened in March to 0.4% from a month earlier, with core inflation at 0.2%. The annual rate is forecast to increase to 1.8%.
• The EU may offer the UK a Brexit delay of up to 12 months at today’s summit in Brussels, with leaders set to debate whether to extend the arrangement to the end of this year or March 2020. GBPUSD is recovering earlier losses to trade near 1.3060 as market participants welcome the chances of a long extension to the Brexit deadline.
• The Federal Reserve releases the minutes of its March 19-20 meeting this afternoon, which will provide more detail about officials’ discussions regarding interest rate trajectory. Fed officials have also announced plans after the meeting to slow the runoff of their $4 trillion asset portfolio in May.