The Euro appears to be eyeing a temporary reprieve and recovery on Monday following a trying time last week. EURUSD put in its 6th consecutive week of losses while EURGBP actually ended the week strong following an early week sell-off and fresh YTD lows.
EURO AREA DATA
European data releases of late have been worrisome to say the least with last week’s PMI data really stoking concern around a recession as rate hikes begin to bite the economy. The PMI data showed a slowdown across a multitude of sectors while input costs showed signs of accelerating once more. The acceleration of price pressures leaves the Euro Area vulnerable to further rate hikes which would most certainly tip the area into a recession.
