Investor morale in the euro zone improved at the start of December for the third month in a row, although it remained uncertain whether this was the start of a long-term trend reversal, a survey showed on Monday. Sentix's index for the euro zone rose to -16.8 points from -18.6 in November, falling short of the -16.4 December reading forecast in a Reuters poll of analysts. Sentix Managing Director Manfred Huebner said Germany struggled to keep up with even these moderate improvements, with expectations in the euro zone's largest economy consistently low.
Following optimistic comments from the Fed on its rate path, all eyes this week will be on US jobs numbers on Friday as well as manufacturing data.
The euro is likely to weaken as focus for the currency centers on easing inflation pressures, with a secondary focus on slowing growth, NatWest Markets said. “Both play euro negative against the dollar and on the crosses.”
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