EUR remains driven by two key drivers – policy divergence and market risk sentiment. These factors will also determine how the main releases next week will impact EUR. Starting with market risk sentiment, the Greek elections over the weekend and the Chinese PMI during the week could prove important drivers of risk sentiment – perhaps more the latter than the former. Going into the Greek vote, investors will focus on the risk of a hung parliament and, indeed, new elections in Greece. Given that the two main parties – Syriza and New Democracy – have signalled willingness to stick to the bailout agreement, however, we ... (full story)