Some ECB policy makers have become more confident in their forecasts, according to a Bloomberg report citing people familiar.

The latest projections — due tomorrow — will show only slight changes to June with GDP revised higher this year on higher private consumption.

With that, there is a falling chance of further stimulus this year; but that will depend on December forecasts.

The euro rallied to 1.1820 from 1.1780 on the headlines but there isn’t much here. A slight increase in forecasts is no surprise given strong retail sales data.