In a speech yesterday President of the ECB, Christine Lagarde, said that it’s clear that the external value of the euro has an impact on inflation. She said that the ECB will monitor the situation but added that exchange rate is not a policy target for the ECB.
Later this morning, sentiment figures for the Euro Area will be released, including economic, consumer and industrial sentiment. Consumer confidence figures are also due and are expected to show a slight improvement in September.
The preliminary estimate of Germany’s inflation rate for September will come out at 1pm, expected to show a 0.1% fall month on month and year on year.
