The German IFO survey (0800 GMT) will provide further indications of economic activity in the euro area at the start of Q2. Coming after the pickup in Q1, recent survey evidence has been mixed. Yesterday's flash euro area PMI reports suggest some easing of growth momentum at the start of Q2 and may point to some downside risks to the IFO survey.
On the other hand, the German ZEW survey posted a very strong increase for the current situation component and only a small decline in the expectations index. Overall, the broad picture of strengthening activity compared with last year still remains intact and we have pencilled in a rise in the headline IFO index to 108.4, in line with the market consensus, up from 107.9 in March.
The meeting of European finance ministers and central bankers begins today in Latvia. Officials have played down the likelihood of a major breakthrough in talks between Greece and its creditors, though technical negotiations on the Greek government's reform plans will continue.
US durable goods orders for March (1230 GMT) are expected to post a rebound of 0.9% (consensus: 0.6%), following the 1.4% fall in the previous month. The report will be closely watched for further evidence on the impact of the stronger dollar on manufacturing activity.
The weaker oil price has also led to mining and oil companies cutting back on new equipment purchases. Shipments data, released in parallel, are used to calculate GDP, will be the final piece of information ahead of next week's advance Q1 GDP estimate.
