French manufacturing PMI jumped above the 50 point mark separating growth and contraction and scored 50.4 points. Also services came out better than expected came out at 51.2 points. The composite figure is 50.4, also rising above 50 after sitting below the figure for quite some time.
EUR/USD is moving a big higher with 1.1145. Will German PMIs follow and provide optimism as well?
Markit was expected to report a small improvement in purchasing managers’ indicators, with manufacturing rising from 48.3 to 48.6 and services from 50.6 in the final figure for August to 51.1 points in September.
EUR/USD remained on low ground, trading at around 1.1130 toward the release.
Earlier, China reported a disappointing PMI and that rattled international markets.
After the Fed went dovish, it is widely expected that the ECB will follows with its own dovish move. We will hear from ECB president Mario Draghi later on today. Beforehand, we have PMIs for Germany and for the whole euro-zone.
More: EUR/USD: A Deja-Vu Shooting Star; Evolving Within H&S – SocGen
Here is how the bigger picture looks on the 30 minute EUR/USD chart:
In our latest podcast we explain why the dollar defies the doves
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