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3 Jul 2014
Eurozone PMI results boost possibility of dovish Draghi today - ING
FXStreet (Łódź) - Martin van Vliet from ING suggests that final Eurozone services PMI data, released today and showing a 52.8 result, lowest in three months, could give ECB head Mario Draghi further ammunition to strike a dovish tone at today’s press conference.
Key quotes
"What is more, the volume of retail sales in the 18-country region remained unchanged in May, having fallen by a revised 0.2% in April. The consensus had expected an increase of 0.3% MoM."
"The less erratic three-month moving average now stands at only 0.1% MoM, suggesting that growth momentum in overall consumer spending is still weak."
"Household deleveraging and still-high unemployment are clearly preventing consumer spending from lifting off."
"Companies’ pricing power is very limited in this environment. Low inflation is here to stay for a while."
Key quotes
"What is more, the volume of retail sales in the 18-country region remained unchanged in May, having fallen by a revised 0.2% in April. The consensus had expected an increase of 0.3% MoM."
"The less erratic three-month moving average now stands at only 0.1% MoM, suggesting that growth momentum in overall consumer spending is still weak."
"Household deleveraging and still-high unemployment are clearly preventing consumer spending from lifting off."
"Companies’ pricing power is very limited in this environment. Low inflation is here to stay for a while."