Europe is now focusing on the French elections after the risk posed by far-right leader Geert Wilders has subsided in the Netherlands. The most recent opinion polls suggest that Macron will beat far-right leader Le Pen 64% to 36%.
It’s also worth noting that one of the typically more dovish members of the European Central Bank made interest rate comments yesterday, pointing towards the possibility of a rate hike.
The single currency did, however, decline against the US dollar as two US Federal Reserve members, Harker and Evans, stated that we could see three further interest rate hikes this year. This goes against the picture painted at last week’s Federal Reserve meeting.
There’s nothing much on the economic calendar for today. The ECOFIN, the Eurozone’s broadest financial decision-making body, meets in Brussels today. If there’s anything unexpected in the formal statement we could see some euro volatility.