It was a relatively quiet start to the week for the Eurozone, with the majority of data out Thursday and today. Thursday saw weaker-than-expected Inflation figures for both Spain and Germany. The only positives for the week were Spanish growth figures coming out as expected, and the fall in German unemployment – which may lead to a positive outlook for Eurozone unemployment data out today. Germany, the Eurozone’s powerhouse, has been under the spotlight recently with less than impressive figures over the past few weeks, as well as talk that they may need to lower their tax revenue forecast due to weakening economic conditions.
This morning we may experience a busy day for the euro. With German retail sales and French consumer spending figures both forecasted to come out weaker than the previous month, any surprises could cause significant shifts in euro markets. The main focus be on the Eurozone’s inflation figures as well as on the unemployment rate. Out of the spotlight recently, Greece may see themselves in more trouble. Prime Minister Antonis Samaras has until February to pull together a supermajority in the national parliament to elect a new president. Failure to do so will allow the anti-bailout opposition parties to force a snap election.