Also last week the European Central Bank's President Mario Draghi said they are ready to take fresh actions if needed, however, governments across the region should implement more structural reforms as money from the ECB cannot create real economic growth. He also assured that the ECB's monetary policy will remain accommodative for the foreseeable future. His remarks came as investors all over the world felt anxious after the Fed's Chairman Ben S. Bernanke said the U.S. central bank is considering winding up its massive stimulus programme later this year. Moreover, Draghi defended the bond-buying programme, known as the Outright Monetary Transaction, which already helped to stabilize the shared currency and made the Eurozone a more resilient place for investments than one year ago. Nevertheless, these comments proved that not only a financial and debt crisis is weighing on the performance of the 17-nation economy, but also external political disputes. The shared currency depreciated 0.75% against the greenback during the last week, on Draghi's comments.
On Thursday July 4, the official data will show the Eurozone GDP data, as well the ECB's monetary policy meeting is scheduled at the same day. The economy is expected to contract 0.2% in the second quarter, falling deeper into recession. Even though analysts' do not expect another rate cut, further measures are needed as the Eurozone economy is now in its longest recession since the creation of single currency in 1999.