"Stabilising ECB rate expectations have been keeping the single currency broadly stable of late. Given an empty calendar when it comes to market moving data releases this is unlikely to change this week.

If anything there may be some focus on September PMI readings, which are likely to confirm moderately expanding business activity. However, considering it will be final readings, there is only limited surprise potential. In terms of speeches, ECB Governing Council Knot will be in focus. He is unlikely to make a case of changing monetary policy expectations. This in turn should leave the single currency driven by external factors such as global risk sentiment and Fed rate expectations.

Still, the main domestic risk may be related to the ongoing woes in the banking sector, including woes related to Deutsche Bank".

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