Eurozone Economic Calendar Heats Up

Eurozone Economic Calendar Heats Up

Since the beginning of the month, the Euro vs US Dollar has been trading in a relatively tight range against the US dollar. There has been no major Eurozone economic data released so far this week, leaving the single currency at the whims of US data. Today, the Euro gave back its gains against the greenback following the dollar bullish US retail sales report. However with the economic calendar heating up for the Eurozone starting today, the region’s economic performance could once again start having its influence on the Euro. Today we have Eurozone industrial production and French consumer prices. Even though CPI could be stronger, industrial production is expected to drop as there was a similar decline in activity in France and Germany. On Thursday we are expecting Eurozone GDP and consumer prices, followed by the trade balance on Friday. Hawkish comments from ECB President Trichet cemented a near term bottom in the Euro last week. For the time being, further losses should be limited until we see a meaningful deterioration in Eurozone economic data.