EUR: a busy week for eurozone data including German ZEW economic sentiment

The euro ended the week by making some gains against the US dollar and weakening against the pound following the release of some better-than-expected UK manufacturing figures. Meanwhile, the eurozone’s Chief Negotiator, Michel Barnier said that the UK has two weeks to clarify some key issues or make concessions if Brexit talks are to make progress.

It was a relatively quiet day for eurozone economic data, but this week promises to be much busier beginning with the release of GDP growth data from Germany and the eurozone as a whole. On the same day, the German ZEW economic sentiment index will be released and, as a survey of up to 300 businesses from the eurozone’s largest economy, it is seen as a key indicator of business confidence. A strong reading could see the euro strengthen, especially if data from the UK is disappointing.

On Thursday, the eurozone will release its inflation rate and on Friday we’ll see the construction output for September. The question is whether we will see further signs that the eurozone’s economy is recovering.