In the data calendar the main event is the release of IFO-business climate. We expecta decline in business climate to 110.8 from 111.3 but yesterday’s weak manufacturingand services PMIs for Germany suggest there is downside risk to today’s IFO.
In the US we expect conference board consumer confidence to have improved slightlyin March mainly on the back of a continued strong performance in the US stockmarket. New homes sales for February are expected to have slowed slightly on theback of a strong rebound in January but the overall message continues to be that it isdifficult to judge the strength of the US housing market due to the weather-relatedimpact.
We also have a number of important speeches in the calendar. ECB president MarioDraghi is scheduled to give a lecture in Paris at 17:00 CET and Bundesbank presidentJens Weidmann will hold a press briefing in Berlin at 17:30 CET.
Read the full report: FX Daily
Danske Bank