020 7898 0500The euro managed to strengthen against sterling and the dollar yesterday, despite there being no economic data releases from the eurozone. Disappointing data from the UK no doubt contributed to GBP/EUR movements, while the EUR/USD movement could be part of a wider trend we are currently seeing.
Movements between the euro and dollar have been fairly volatile of late, but the euro appears to be retracing its losses of the last month. It has been a good couple of weeks for the single currency, but this could all change this week with some key economic data releases from Germany, the eurozone and the US.
It is a pretty busy day for the eurozone today, with the German and eurozone ZEW economic sentiment indices set for release. The German ZEW hit -8.2 in May and is expected to decline further to -14. The index is seen as a leading indicator for the economy, as it is a survey of up to 300 experts from banks, insurance companies and financial departments.
