07:02 AM EDT, 09/22/2025 (MT Newswires) -- This week's eurozone calendar revolves around Tuesday's PMIs, which are expected to flatten up after some good August readings, said ING.

Later this week, the German Ifo will complete the activity survey picture.

There are also a few European Central Bank speakers to watch, with Jose Luis Escriva, Philip Lane and Joachim Nagel speaking on Monday. Governing Council doves have been relatively silent, and while it might be too early to hear strong opposition to the "good place" narrative from ECB President Christine Lagarde, ING signals some risk of the doves becoming more vocal later this year.

EUR/USD's short-term fair value is 1.190 as of early Monday and the bank sees upside risks beyond the 1.180 level this week as the US dollar (USD) may shed its post-Federal Reserve gains.

Central bank speakers and PMIs will also be in focus in the United Kingdom this week, pointed out ING. Bank of England Governor Andrew Bailey and Chief Economist Huw Pill will speak on Monday. Bailey said last week that rate cuts should continue, but at a more unpredictable pace.

The bank retains a preference for another rate cut in November. Considering market pricing is 7bps, EUR/GBP has upside potential into year-end. Noise surrounding the November Budget can contribute to upside volatility.

But for this week -- barring major divergence in PMIs -- EUR/GBP may not drift much higher given the lack of convincing drivers to sell the expensive pound (GBP), noted ING.

In recent days, the bank has seen the Polish zloty (PLN) underperform its Central and Eastern European peers and this is likely to be the case on Monday as well. However, EUR/PLN remains range-bound at 4.240-270, and if it goes to the upper bound, it could be a good opportunity for the market to fade.

Both currencies have seen a decent rally in recent weeks, and the bank believes there is still some room for gains. The Czech central bank (CNB) probably has greater potential to support the currency than Hungary's central bank (MNB), given its long position in Hungary's forint (HUF) already.

EUR/CZK is likely to test new lows below 24.250 and eventually go to 24.000. EUR/HUF saw a small correction on Friday, but positive conditions remain and it should go back below 390, accoridng to ING.