-Eurozone data raises alarm
Last week, negative signals were reported in overall annual inflation, growth and PMI data in the Eurozone.
Seasonally adjusted GDP rose by 0.4 percent in both the euro area and in the EU during the first quarter of 2018, compared with the previous quarter, according to a preliminary flash estimate by Eurostat, the statistical office of the European Union.
In the fourth quarter of 2017, GDP grew by 0.7 percent in the euro area and by 0.6 percent in the EU.
In the first quarter of 2018 compared with the same quarter of 2017, seasonally adjusted GDP rose by 2.5 percent in the euro area and by 2.4 percent in the EU.
The final IHS Markit Eurozone PMI Composite Output Index posted 55.1 in April, down from 55.2 in March and below the earlier flash estimate of 55.2.
The headline index has fallen from an eleven-and-a-half-year peak in January to a 15-month low in April.
And lastly, euro area annual inflation is expected to be 1.2 percent in April 2018, down from 1.3 percent in March 2018, according to a flash estimate from Eurostat.
Recent data and market surveys in the Euro area have signaled that economic expansion has lost momentum. The Euro area annual inflation rate is still below the target level, despite the European Central Bank's (ECB) interest rates falling to historic low levels and the ongoing monetary expansion program.
This means that the asset purchase program and the low-interest rate policy will continue until inflation picks up.
-The week ahead
This week will be calm in terms of data. However, the ECB's monthly economic bulletin and Germany's foreign trade data could prove significant. In addition, a number of ECB officials will make statements this week.