Reuters reports, citing sources familiar with discussions
– Rate cut talk has been marginal in policy discussions
– ECB focusing on financing conditions, lending rates in policy decisions
I think this was plain to see for most people as the ECB themselves have emphasised that they will if need be, tweak PEPP rather than pursue other policy alternatives

The dollar is leading gains in trading so far today
The is helping with the dollar push today, as the pair now nears a test of 105.00 with eyes on the 200-day moving average @ 105.62.

The risk rout calms down ahead of North American trading
The greenback continues to lead the charge in the major currencies space but gains have been trimmed somewhat across the board as risk sentiment exudes some calmer tones.

A modest bounce in equities after the sharp drop earlier
The DAX is now trimming losses to just under 1% and European indices are also calming down a little following the plunge earlier to start the session.

Cases continue to reflect signs of a plateau but the death count remains on the higher side once again
A bit of a late update via RKI today but the latest figures don’t reflect much change in recent developments on the virus situation in Germany.

ONS reports on the situation for the period of 11-24 January
They estimate that 17% of the workforce is on furlough, the highest level since July while the percentage of businesses currently trading remains at 71%.

Latest data released by Eurostat – 28 January 2021

Latest data from the Mortgage Bankers Association for the week ending 22 January 2021
–  -1.9%
– Market index 907.6 vs 946.8 prior
– Refinancing index 4,261.5 vs 4,484.2 prior
The drop here stems from a decline in purchases and refinancing activity in the past week, but comes on the back of a two weeks back. As such,

Dollar pushes higher in anticipation of the Fed later in the day
Perhaps some positioning flows ahead of the key risk event are playing out now as we get into North American trading, as the dollar is making some headway across the board.

It looks like the meeting is back on
here