TD Securities analysts note that Germany's industrial production for June was much worse than expected, declining 1.5% m/m versus consensus of -0.5%.

• “It has now fallen almost 3.5% over the last three months as the out-performance of hard data vis-a-vis surveys is reversing. This will further embolden the ECB as they determine exactly how much stimulus to deliver in their September meeting where we expect at least a 10bps cut to the depo rate and €30bn/month of QE.”