A bunch of medium-tier reports are comin’ right up from both the euro zone and Swiss economy this week. How might their currencies react?
Flash CPI readings (starting September 30, 7:00 am GMT)
A fresh set of inflation reports are lined up from euro zone economies and the entire region itself, and these figures might shape market expectations for the ECB’s next moves.
First up, we’ve got the Spanish, German, and Italian preliminary CPI readings due in today’s London session.
Spain’s CPI is slated to hold steady at 0.3% on a year-over-year basis while Germany’s is estimated to have dipped from 1.4% to 1.3%. Italy is expecting to see a 0.3% drop after previously posting a 0.4% gain.
The outcome of these reports should be enough to help euro traders anticipate how the region’s flash CPI readings lined up for Tuesday’s London session might turn out.
Analysts are predicting no change in the 1.0% headline figure for September while the core version of the report could see a slight improvement from 0.9% to 1.0%. Stronger than expected results could dash hopes of further ECB easing, at least for the remainder of this year.
Medium-tier Swiss reports (starting Oct. 1, 6:30 am GMT)
Switzerland has one of its rare weeks with a handful of economic reports lined up, and these could also shape expectations for SNB policy moves.The Swiss retail sales report is scheduled for release on October 1, 6:30 am GMT, and could show an improvement from 1.4% to 1.6% on a year-over-year basis for the month of August.
The September manufacturing PMI is due an hour later and analysts expect to see a dip from 47.2 to 46.5 to reflect a faster pace of industry contraction. On Wednesday’s London session, the Swiss CPI for September will be printed, and a meager 0.1% uptick is eyed.
Missed last week’s price action? Read the EUR & CHF price recap for September 23 – 27!