020 7898 0500It was a mixed week for the euro, with Friday being a particularly bad day for the euro. Greece’s debt issues still remain key and was the major talking point across the last week. The euro in the short term will be a good gauge of the overall sentiment on the Greek economy and how well Greece can re-negotiate their bailout package. Uncertainty coupled with brinkmanship will occupy most of February.
For the week ahead it will be a big day on Thursday. The Consumer Price Index (CPI) data from Germany will be released which is forecast to worsen to -0.5% from December’s figure of 0.1%; any surprises could cause significant shifts in euro markets. On the same day we will also have European industrial production data due, which is forecast to increase slightly on last month’s figure, from 0.1% to 0.2%.
Thursday is also the day European Union leaders meet in Brussels. No doubt Greece will be at the top of the agenda and so the euro could be in for a bad end to the week just like this week.
