EU chief negotiator Barnier commented that the UK is demanding more than other trade partners during post-Brexit trade negotiations and want to ‘maintain the benefits of a member state’ without following the same rules. He also mentioned that agreeing to a deal similar to Canada or Japan will not happen due to the UK’s proximity to mainland Europe. This led to the Pound weakening overnight as this shows that both sides are far from concluding negotiations.

ECB chief economist Lane has said that the central bank is ready to adjust their interest rate level if need be. Fellow ECB member de Guindos believes that the Eurozone economy is likely to rebound in the second half of 2020 which kept the Euro strong. The EU is set to lift external travel restrictions from 1st July whilst Germany will end border controls with surrounding countries on 15th June.

Yesterday, US consumer price inflation came out worse than expected at -0.1% compared to 0.0% that was expected leading to the Dollar maintaining its recent weakness. In the evening, the Federal Reserve kept interest rates unchanged between 0.00-0.25% and maintain this level until 2022 which led to the Dollar strengthening. However, they also updated their forecasts and expect the US economy to contract by 6.5% whilst unemployment is predicted to increase to 9.3% by 2021. US unemployment claims data is due at 1:30pm today which is likely to cause some short-term volatility.