All Eyes On Eurozone Inflation Data

The euro was under pressure on Monday after hitting a one month low on Friday following unexpectedly low Spanish and German CPI data.

The common currency traded at $1.3747 at 4:50 GMT on Friday morning as investors turned their attention to the region's highly anticipated inflation figures, due out later on Monday.

Germany, the bloc's largest economy, posted inflation of 0.9 percent in March, a one percent drop from last month's figures. The data suggested that the eurozone is slowly slipping into a period of low inflation or, as many fear, a period of deflation.

The figures from last week indicated that the eurozone's overall inflation figure will come in lower than forecast. If the bloc's inflation has fallen further in March, it could push the European Central Bank to act this week at its Thursday policy meeting. Last week, several of the region's central bankers indicated that the bank was willing and ready to step in if need be.

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Meanwhile, in Greece, policy makers are working to pass further reforms in order to receive the next bailout installment. After over six months of negotiations with the International Monetary Fund and the ECB, the Greek parliament agreed to a bill which will incorporate hundreds of reforms into Greek law.

However, according the Reuters, the passage of the bill was controversial among Greek lawmakers and forced Prime Minister Antonis Samaras to expel one law maker who did not back one article. During the meeting, thousands of Greeks rallied outside parliament in protest of the bill's reforms.

Moving forward Samaras will have to begin talks on how to get further debt relief for Athens as his bailout funding is nearly tapped out. Many expect that he will ask for an extension as well as lower interest rates on Greek rescue loans.