US Dollar retraces some of its losses on a quiet day

• German PPI
• AUD MPC minutes

The Greenback managed to retrace some of its losses yesterday on a fairly quiet day for the market. For most of the day, the market continued to focus on the newswires surrounding Greece, which will intensify later in the week. Greece are trying to find ways to generate cash in order to satisfy bond payments, due next month. The Eurogroup meeting starts on Friday and could be pivotal in this move.

Meanwhile, the UK election countdown continues. Yesterday the Scottish National Party (SNP) released their manifesto, which focused on cutting austerity. With just over two weeks to go to election day, the outcome has not become any clearer. Currently, neither Labour or the Conservative party are on target for a majority (326 seats), instead they are forecasting around 280 seats each. The fall from grace of the Liberal Democrats and the emergence of UKIP, Greens and SNP could make a potential coalition interesting. 

• German ZEW 53.3
• EUR ZEW 64.8
• GBP Bond auction
• CAD Wholsales
• AUD CPI

Looking forward to the day ahead, the main focus will be on the ZEW numbers out of Germany and the Eurozone. The ZEW surveys 275 German institutional investors and analysts and assesses their economic outlook for the next six months. Data has shown improvements recently, so it is no surprise that the ZEW numbers are expected to improve.