In terms of data releases, we have a very light calendar today. Instead, focus willcontinue to be on comments from ECB board members Weidmann, Mersch andCoeure. All of them have talked following the ECB meeting in May and especiallyMersch’s comment that ‘Draghi only said, in his own way, what Mr. Trichet used tosay with strong vigilance’ supports the case for further ECB easing in June. EvenWeidmann’s attempt to speak for the hawks was rather balanced and it did not changethe market’s expectation of more easing.
Fed’s Williams and Fisher will be panel discussants at a conference on the role ofthe Fed. Fischer is very hawkish and his views are far from the consensus. Hence,Williams’s comments could be more interesting, though he is a non-voter in 2014.
During the week the Fed is due to release minutes from the latest FOMC meeting andchairman Yellen will speak, Bank of Japan is unlikely to announce any new easingmeasures and in the euro area we expect PMIs to continue to go slightly higher.
In Sweden data on the unemployment rate for April are released.
Read the full report: FX Daily
Danske Bank