Will news and data for the Eurozone help the euro to regain ground?

The euro ended up having a disappointing day on Friday as it lost ground across the board. Preliminary data showed that growth figures for Germany came out as expected, at 0.3% in the fourth quarter of 2015, with the year-on-year figure also bang in line with expectations at 1.5%. However, there was a separate report showing that the Eurozone’s industrial production fell by 1% in December in comparison to expectations of a 0.3% gain.

This week is expected to be much busier than last. Mario Draghi delivers his quarterly testimony to the Economic and Monetary Affairs Committee of the European Union which will be very carefully analysed in an attempt to identify as to what could happen at Marchs ECB meeting. Then on Tuesday  we have German ZEW business confidence data released; this is expected to fall from the previous month from 59.7 down to 56.5. Given the recent shaky ground that currencies like the euro have been trading, any events elsewhere could potentially cause significant movement for the euro.