The euro strengthened against the pound last week and is likely to continue to respond to events in Ukraine this week.
Market optimism for talks between Ukraine and Russia lifted the euro. Talks are due to resume today week via video link and will start at 10:30am Kyiv time. Meanwhile, reports reveal that the city of Mariupol if being heavily bombed in residential areas.
This week, economic sentiment figures will be released for Germany and the eurozone, as well as eurozone inflation data on Thursday. Several European Central Bank officials will speak throughout the week.
