Markit’s French manufacturing PMI falls to 47.3 points, worse than expected. The services PMI is also unimpressive at 48.1 points. This points to contraction. On the other hand, we have good news from Spain: the unemployment rate fell from 24.5% to 23.7%, significantly better than expected.
EUR/USD is extending its slide, falling to 1.2625.Update: EUR/USD extends its falls below 1.2620.
Update: German manufacturing PMI returns to growth – EUR/USD bounces up
Markit’s manufacturing purchases managers’ index (PMI) for France’s manufacturing sector was expected to tick down from 48.8 to 48.6 points. The services PMI was predicted to slide from 48.4 to 48.2 points. The 50 point mark separates growth and contraction.
EUR/USD was pressured towards the release, trading around 1.2630.
The numbers for Germany are released in 30 minutes. See how to trade the German manufacturing PMI with EUR/USD.
Later today we have jobless claims from the US. They are of special interest after the figure fell to the lowest since the year 2000 last week.
What is the next direction of the euro? The most recent opinion we posted is:2 Reasons For Staying Bearish EUR/USD Targeting 1.25 – Deutsche Bank
