The geopolitical situation in Ukraine will probably be the main focus after deadlyclashes on Sunday in eastern Ukraine and the Ukrainian government’s announcementthat it will move troops into eastern Ukraine to regain complete control. All eyes willbe on a possible Russian reaction. EU foreign ministers will meet in Brussels today todiscuss a response.
In the data calendar the main release is March retail sales in the US. We expect a solidweather-related rebound in retail sales driven by not least stronger auto sales. Euroareaindustrial production for February will also be released and is expected to show amoderate improvement. As most euro-area countries have already released nationalproduction data, this is usually not a release with major surprises.
Q1 earning reports will be a major focus this week after the sharp correction in the USstock market last week. We kick off a very busy reporting week with CitiGroupreporting today.
Read the full report: FX Daily
Danske Bank