020 7898 0500Even though Eurozone data has been disappointing this week and even though we have the Greek election this weekend, the euro has had a good couple of weeks against the US dollar and is holding its own against sterling.
The Eurozone had a relatively poor week for data, with both Tuesday and Wednesday showing disappointing movements for the single currency zone . On Tuesday the euro struggled against the dollar largely down to the news that the Zentrum für Europäische Wirtschaftsforschung (ZEW) economic sentiment index in Germany had fallen to 12.1 in September – under half of the August figure of 25.0. There was a similar story on Wednesday, as data was released that showed that euro area inflation was revised lower for August, which added to fears that the European Central Bank (ECB) may have to scale up its quantitative easing programme.
Balance of payments data is out this morning but is unlikely to have a major effect given the last nights Federal reserve decision on interest rates.
