The euro and Swiss franc were once again net out performers this week as the bulls took advantage of counter currency weakness and uncertainty with the global growth outlook as coronavirus cases rise.
The Euro


European Headlines and Economic data
Monday:
Euro zone economy not yet out of danger from coronavirus: ECB’s Panetta
EU’s Barnier confident deal with Brexit Britain is possible
German Ifo Index: 90.5 points in July vs. upwardly revised 86.3 points in June
French jobless total drops in June: labour ministry
Helped by fiscal boost, German economy seen rebounding: Bundesbank
Tuesday:
Spain jobless level hits 15.3% in second quarter
European Central Bank extends bank ban on dividends and stock buybacks
Wednesday:
German Import prices in June 2020: -5.1% on June 2019
New French Europe minister – Brexit deal possible but not ‘at any price’
ECB’s Stournaras Says Virus Bond-Plan Exit Depends on Inflation
Thursday:
German GDP in the 2nd quarter of 2020 down 10.1% q/q
German Preliminary CPI read for July 2020 -0.1% m/m
German employment change in June 2020: -0.1% m/m, -1.3% y/y
Estimated Spanish CPI for July: -0.6% y.y
Friday:
French GDP dropped at the fastest rate in history, contracting 14% in the second quarter
Euro zone GDP plunged by a record 12.1% in the second quarter
Spain in recession as GDP tumbles by 18.5%
French consumer spending shoots back above pre-lockdown level in June
Italy’s GDP slumps unprecedented 12.4% in second quarter
Euro area annual inflation up to 0.4%
The Swiss Franc


Swiss Headlines and Economic data
Monday:
Gold price hits record high on new fears for the economy – traders ran to safe haven assets and low-yielders (like the euro) as COVID-19 cases surge in recent weeks. The Swiss franc didn’t immediately benefit from this broad risk sentiment on Monday; was the SNB intervening in the FX markets then?
Tuesday:
Negative risk sentiment was the likely driver for the franc’s uniform move higher during the London session, likely on uncertainty remaining on whether or not we’ll see a stimulus package from the U.S. government.
Wednesday:
The franc and euro sees gains early in the U.S. session with no apparent direct catalyst. This may have been a product of U.S. dollar weakness, sparked by rising COVID-19 cases in the U.S., a likely dovish Fed statement and no signs of a U.S. stimulus bill passing ahead.
Thursday:
KOF Swiss economic barometer for July: 85.69 vs 60.65 in June
We saw a round of negative risk sentiment as the U.S. pumped out a record negative GDP update and disappointing unemployment numbers, but the franc ended the session mixed as counter currency flows were the likely driver for price action.
Friday: