DAVY VIEW

This morning’s UK GfK Consumer Confidence survey shows a surge in sentiment in March as vaccines were rolled out, with 12-month expectations for the economy at their highest level since 2016. Meanwhile, the Bank of England’s statement yesterday (March 18th) provided a more benign view of rising gilt yields, deciding to maintain the current pace of its extra £150bn of quantitative easing (QE) and acknowledging that the near-term outlook had brightened.