Italy dampens the prospects for ECB exit of QE  - AmpGFX

Analysts at AmpGFX explained that Individual country preliminary inflation data for May suggest that Eurozone headline and core measures will rebound more than expected.

Key Quotes:

" Without the political upheaval in Italy, the data might signal a clearer path to exiting QE and support a sizeable recovery in EUR. "

"Political uncertainty eased somewhat on Tuesday and EUR has rebounded, but the situation remains fluid."

"US economic reports were mixed with a downward revision in Q1 PCE inflation, and softer ADP employment.  However, the Beige Book pointed to somewhat more wage and inflation pressure."

" The Bank of Canada suggested that a hike at its next meeting in July would be consistent with their gradual normalisation in rates policy, necessary with inflation on target and the economy operating near capacity."

"They see risks from trade policy and global stresses, but not enough to derail plans to hike soon."