The EURO has slid 100 pips since yesterday and looks set to continue as bears have taken firm control, and with bulls desperate for some respite, today's German and EU ZEW figures, expected at 4.2 and 6.3 respectively, will be closely watched by markets. Should either of them but specifically the German figure print worse than expected, then we could see the EUR bulls concede completely as Europe's biggest economy stumbles. The EURUSD could re-enter the sub 1.1100 area which would bode well for EURGBP bears who have been waiting for the EUR to converge towards the GBP`s recent demise as they look to get out of their shorts. Better than expected data will give EURUSD bulls some respite as the fall levels out until the next set of relevant data is released.
Today's key economic releases:
- German ZEW Economic Sentiment expected at 4.2
- ZEW Economic Sentiment expected at 6.3
- MPC Member Saunders Speaks