FX Daily

* In the data calendar the main events are the releases of flash PMIs for the euro area, Germany and France. For the euro area as a whole we believe a slight decline is possible albeit Germany should continue to outperform and improve slightly. A slight decline in euro area PMIs in November will still be consistent with a moderate improvement in GDP growth in Q4.

* Both ECB-president Mario Draghi and Bundesbank-president Jens Weidmann are scheduled to speak at 11:00 CET and 17:00 CET respectively. Draghi will be speaking for a German audience in Berlin that includes chancellor Andrea Merkel, which might curb Draghi’s enthusiasm for flashing all ECB’s easing options. For a hawk Weidman’s comments yesterday sounded surprisingly dovish so it will be interesting to see if he indeed is getting softer.

* In the US the main data releases are the flash Markit manufacturing PMI, producer prices and the weekly unemployment claims data. In addition we have a Fed speeches in the calendar from James Bullard and Jeffrey Lacker respectively.