The euro rose for a third consecutive session on Wednesday on mounting expectations the European Central Bank was on track to set a date for ending its stimulus program at its policy meeting next week.
The EUR/USD pair hit a two-week high of 1.1770 after opening the session at 1.1716, while currently trading at 1.1742.
ECB Chief Economist Peter Praet said the central bank was confident about rising inflation and reaching the bank's target could prompt the Governing Council to discuss starting gradual withdrawal of the stimulus program.
The hawkish comments from Praet came after a number of separate comments and news that the Reserve Bank of Australia may announce the end of the purchase of bonds and assets.
It is worth mentioning that the previous belief was that the ECB's monetary policy would remain unchanged during June’s meeting due to the political tensions in Italy and Spain, as well as concerns over global trade.
For the eurozone, perhaps the most important data this week will be the final GDP reading for the first quarter, where expectations are in favor of confirming a 0.4% and an annual expansion of 2.5%.
The focus will be on the weekend at the G8 summit in Quebec, Canada,
where long discussions are expected over the US new tariffs imposed on imports
from Canada, Mexico and the European Union.