Written by: Sophie May
Eurogroup Meetings
These gatherings are very important for the strength of the euro and have a direct effect on the fiscal policies of Eurozone countries. The meetings are held in Brussels and attended by the finance ministers of Europe’s member states, as well as the European Central Bank’s president and the E.U president. Meetings are usually followed by a statement to the press that can have a significant effect on market sentiment.
Minimum Bid Rate
Also known as the Refi or Repo rate, this data release announces the European Central Bank’s interest rate for the following month. Interest rates are extremely important to traders because they are the prime movers of currency values. This data release is generally well anticipated by the markets and rarely comes as a surprise.
European Central Bank (ECB) President’s Speech
This public address is delivered by the president of the ECB three quarters of an hour after the Minimum Bid Rate has been announced. It is closely monitored by the markets for sentiment cues, and affects the value of the euro as it is being delivered. Traders will tend to avoid trading on the Minimum Bid Rate announcement and wait until the ECB President speaks.
M3 Money Supply
Released by the European Central Bank (ECB) this report keeps track of monthly changes in the amount of currency in circulation and provides a useful insight into the potential changes in interest rates and future inflation levels. More money in circulation is generally good for the strength of the single currency.
E.U. Consumer Price Index (CPI)
CPI measures changes in the price of consumer goods on a month by month basis. The figures are released at the start of each month and are generally catalysts for fervent trading activity. The final CPI figures follow two weeks after the flash estimate and are used by the ECB to set its inflation targets. It is also important to keep track of German Preliminary CPI as these figures provide a useful insight on the wider European state of play.