The BoE Governor Mark Carney had warned in March that uncertainty over the EU referendum could hit the UK economy. It also added that the referendum may delay some spending decisions and depress growth. A Reuters poll of economists found that the BoE is expected to leave interest rates at a record low until 2017 amid fears of slowing global growth and inflation nowhere near target. The poll states that any hikes will be gradual and the initial 25 basis point increase may be followed by further moves in the second and fourth quarters of next year.

In the US session, CPI and Unemployment Claims figures were released. The Consumer Price Index increased 0.1% in March on a seasonally adjusted basis, missing forecasts on increase by 0.2%. Over the last 12 months, the all items index rose 0.9% before seasonal adjustment. The food index declined in March, while the indexes for energy and for all items less food and energy rose, leading to the slight seasonally adjusted increase in the all items index. The food index fell 0.2% after rising in February, as five of the six major grocery store food groups declined.

Separate report showed that in the week ending April 9, the advance figure for seasonally adjusted initial claims was 253,000, a decrease of 13,000 from the previous week's revised level. Analysts were expecting increase to 270,000. The 4-week moving average was 265,000, a decrease of 1,500 from the previous week's revised average.

There will be no data release from the UK tomorrow. In the US session Empire State Manufacturing Index, Industrial Production and Consumer Sentiment data will be released. Analysts predict 2.1 increase in Empire State Manufacturing Index, while Consumer Sentiment should incline by 91.9. Industrial Production should fall by 0.1%.

Figures to watch:

Empire State Manufacturing Index (Friday 14:30)

Industrial Production (Friday 15:15)

Prelim UoM Consumer Sentiment (Friday 16:00)