Inflation data and central bank meetings will be the focus of next week. But we wouldn't hold our breath – the meetings in emerging market countries are unlikely to bring major changes.
EURUSD bulls, like us, will be more concerned about the ECB press conference on Thursday. The bank may give some hints about a tapering decision in September. Given our short AUDCAD CIO House View position, we will also keep a close eye on Australian labor market data on Thursday and Canadian inflation data on Friday. The Bank of Canada has made a strong hawkish policy shift. An inflation rebound would underscore that change.