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Euro-watchers will be on standby for this week’s eurozone inflation rate. Markets have forecast the rate to edge down gently from 10.6% to 10.3% in Wednesday’s release.

Even if the rate does fall as predicted, eurozone inflation would still be well above the Central Bank’s target of 2.0 percent. This is against a backdrop of already surging energy prices and euro weakness.

Other key releases this week include Germany’s balance of trade on Wednesday and Italy’s unemployment data on Thursday.

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