1Finance

EUR/USD took another step forward, but could not hold onto the highs. What’s next? The big event on the agenda is undoubtedly the ECB meeting. Here is an outlook for the highlights of this week.

1. Final CPI: Tuesday, 9:00. According to the initial figures, the consumer price index rose by 1.3% y/y in June and core CPI advanced by 1.1%. Both figures were better than expected and both will likely be confirmed in the final read, even though Spain’s CPI was upgraded in its final read.
2. German ZEW Economic Sentiment: Tuesday, 9:00. The all-European figure printed 37.7 points.
3. German PPI: Thursday, 6:00.
4. Current Account: Thursday, 8:00. The figure stood at 22.2 billion in April and the number for April is due now.
5. Rate decision: Thursday, the decision at 11:45, press conference at 12:30. There, Draghi talked about a shift from deflation to reflation and mentioned a gradual removal of the stimulus. This time, no new forecasts are on the cards but reporters and markets would like to know if the ECB will announce the beginning of the end of its bond-buying scheme, currently set to expire by year-end. Any optimism about inflation and growth would be euro-positive, while a damp mood by the President of the Frankfurt-based institution would hurt the euro.
6. Consumer Confidence: Friday, 14:00.

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