Region: Europe

Dollar erases gains as new data comes into focus; we look at how sterling usually appreciates in April, and the silent rise of European equities.

Risk aversion hurts the pound as oil prices jump, while sticky inflation continues to keep pressure on the ECB. Bank’s stress borrowing eases significantly.

GBP/USD primed for best month since November and sticky European inflation lifts the euro.

Hawk watching in Europe has intensified as strong UK data releases continue to buoy rate hike bets, with even secondary data now capable of becoming market-moving.

The rebound in market sentiment runs the risk of being spoiled by volatility, while the pound strengthens alongside increasing risk appetite; in contrast, the euro gains support from a more stable and calmer market environment.

Despite the protests, business outlook remains stable as fears surrounding the banking sector ease, resulting in a decline in the demand for safe-haven assets; meanwhile, the pound is keeping a close watch on its March high.