020 7898 0500On an otherwise-quiet day for the eurozone, Draghi addressed the European Parliament and said that patience and persistence were needed to for inflation to return to levels near 2%. He said the central bank believed that headline inflation will gradually increase in the future, supported by their monetary policies.
The euro began the day by weakening against sterling following suggestions that a UK interest rate rise could happen sooner rather than later, but it retraced these losses and ended up strengthening a little. Against the dollar, there was a sideways move throughout the day and there was very little movement between the pairing.
Today’s main release is the German inflation figure which is expected to dip a little to 1.5% in February from 1.6% the month before. We will also see the business confidence figure, as well as services, industrial and economic sentiment indices. Finally, we will see consumer inflation expectations.
