Quiet day of announcements brings Draghi into focus, busy week ahead
A quiet day of announcements today sees a speech delivered by Mario Draghi come into focus.
The President of the ECB is due to testify about the European Central Bank’s perspective on economic and monetary developments and the consequences of the Brexit before the European Parliament’s Economic Committee, in Brussels. This will be occurring in the early hours of tomorrow morning. As President of the ECB, his speeches are crucial to help us understand the thinking behind current ECB monetary policy and also give us an indication as to future monetary policy for the European Union.
As far as announcements go, there are only two and they come out of Europe. Europe is releasing M3 Money Supply and Private Loans data. The money supply data is the change in the total quantity of domestic currency in circulation and deposited in banks. This is particularly important given the ECB’s very accommodative QE (Quantitative Easing) policy. The loans data is important as it reflects the change in total value of new loans issued to consumers and businesses. This is important as new loans can help us gauge consumer confidence and business’ willingness to expand, therefore spurring growth in the economy.