020 7898 0500The single currency continues to strengthen after spending the first part of last week on the back foot. Data last week showed that the Q1 GDP for Germany posted a reading of 0.7% for the quarter and 1.7% on the annualised figure.
Over the weekend we saw that German Chancellor Angela Merkel’s CDU political party took victory in the state election of North Rhine-Westphalia. This is key for Merkel as this is the most populous state and the SPD is the incumbent party. The German elections are due to be held in September.
Today we have the flash Q1 GDP for the eurozone and, with the encouraging data from the region, it will be hoped that the pace of growth has picked up. In addition, the German ZEW is set for release. The ZEW surveys about 275 German institutional investors and analysts on their view of the economy for the next six months and is a leading indicator of economic health. The inflation figures for the region follow on Wednesday in the form of the consumer price index.
