The mixed reading didn’t impact indices much, since it lacked clarity, and investors are still unsure how high the Fed will raise rates at its next meeting in May, or if there’s going to be any rate hike at all. The detailed minutes of the U.S. central bank’s last meeting in March were also released yesterday and showed a weaker commitment to further rate hikes, as it scrapped the need for "ongoing increases" from the policy statement. It also showed the Fed almost considered postponing a rate hike after the collapse of SVB Financial. In any case, it plans to start reducing its purchases of US Treasuries in November by $10 billion a month.

The FTSE 100 ended the session 0.5% higher yesterday and opened more or less flat today. Recession concerns are weighing on commodity-linked stocks.

The Office for National Statistics said real gross domestic product (GDP) is estimated to have shown no growth in February 2023 on a monthly basis, as declines in services and production were offset by growth in construction. This follows growth of 0.4% in January, revised up from growth of 0.3% in the previous publication.

Among stocks, Tesco gained 1.6% after the retailer posted full-year profit in line with its guidance.

Imperial Brands was down 1.8% after it said revenue for the first-half of the year would be "slightly below" the corresponding period last year.

Things to read today:

Fed Leans Toward Another Hike, Defying Staff’s Recession Outlook (Bloomberg)

The 60-40 Investment Strategy is Back After Tanking Last Year (WSJ)

 Strikes drag UK Economic growth to a standstill as Jeremy Hunt vows to bear IMF forecasts (The Guardian)