The Pound has weakened due to issues with the AstraZeneca vaccine and its link to blood clots, which has slowed down the number of first jab vaccinations in the UK. MPC member Tenreyro will be speaking later this afternoon which may cause some short-term volatility.
Euro (€) Italy is likely to start lifting lockdown measures in a gradual fashion from May. ECB member Panetta has said that the central bank should push inflation higher as soon as possible to help the Eurozone’s economic recovery. This hint at further monetary measures has kept the Euro weaker for the time being.
US Dollar ($) The Dollar has strengthened as the greenback experiences demand for its safe-haven status. Although around 35% of Americans have received their first vaccine jab, concerns about rising inflation in the US have mounted. In addition, a recent study has found the Pfizer vaccine is less effective against the South African virus variant than previously thought which has also pushed the Dollar higher.