FOREX TradingCharts.com

Forex News: Euro Falls As Eurozone Private Activity Nears Stagnation

Euro Falls As Eurozone Private Activity Nears Stagnation

11/22/2019 - 06:12:00 (RTTNews)

(RTTNews) - The euro trimmed its early gains against its major counterparts in early European deals on Friday, as a data showing Eurozone business activity remaining close to stagnation offset positive factory PMI from Germany.

Flash data from IHS Markit showed that the euro area composite output index fell unexpectedly to 50.3 in November from 50.6 in October. A score above 50 indicates expansion. The score was forecast to rise to 50.9.

The reading signaled the second slowest growth across manufacturing and services since the current upturn began in July 2013.

The services Purchasing Managers' Index dropped to 51.5 from 52.2 in the previous month. Economists had forecast a score of 52.4.

At the same time, the manufacturing PMI rose to 46.6 from 45.9 a month ago. The score was forecast to rise to 46.4.

Separate data showed that German factory Purchasing Managers' Index rose to a five-month high of 43.8 from 42.1 in October.

The composite output index rose to 49.2 in November from 48.9 in the previous month. A score below 50 indicates contraction and the reading was slightly below forecast of 49.3.

Speaking at the Frankfurt European Banking Congress, President Christine Lagarde said that the European Central Bank's ultra-loose monetary policy is supporting the euro area economy and will continue to do so to ensure inflation returns to its target.

The ECB's accommodative policy stance has been a key driver of domestic demand during the recovery, and that stance remains in place.

The currency showed mixed trading against its major counterparts in the Asian session. While it rose against the yen and the franc, it was steady against the pound and the greenback.

The euro depreciated to a weekly low of 1.1047 against the greenback, from a high of 1.1087 seen at 3:30 am ET. The next likely support for the euro is seen around the 1.08 level.

Reversing from a high of 120.49 hit at 3:30 am ET, the euro fell to a 2-day low of 119.93 against the yen. The euro is seen finding support around the 118.00 region.

Survey data from IHS Markit showed that Japan's private sector continued to contract in November but moved closer to stagnation.

The Jibun Bank flash composite output index rose to 49.9 in November from 49.1 in October. A score below 50 indicates contraction in the sector.

The euro pulled back to 1.0980 against the franc, from a fresh 2-week high of 1.1010 it touched at 3:30 am ET. On the downside, 1.08 is possibly seen as the next support level for the euro.

The euro declined to an 8-day low of 1.7206 against the kiwi, 3-day low of 1.4671 against the loonie and a 2-day low of 1.6259 against the aussie, off its early highs of 1.7286, 1.4711 and 1.6316, respectively. If the euro slides further, it may find support around 1.70 against the kiwi, 1.44 against the loonie and 1.60 against the aussie.

On the flip side, the euro firmed to a 10-day high of 0.8595 against the pound from yesterday's closing value of 0.8566. Next key resistance for the euro is seen around the 0.88 level.

Looking ahead, Canada retail sales for September and University of Michigan's consumer sentiment index for November will be featured in the New York session.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2019 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT FOREX and ECONOMIC NEWS STORIES


Dollar Climbs After U.S. Jobs Data (07 hr(s), 11 min(s), 06 sec(s) ago)
(RTTNews) - After the release of U.S. jobs data for November at 8:30 am ET Friday, the greenback a ...Full Story»

Loonie Falls Following Canada Jobs Data (07 hr(s), 11 min(s), 06 sec(s) ago)
(RTTNews) - At 8:30 am ET Friday, Statistics Canada has released Canada jobs data for November. Af ...Full Story»

Loonie Mixed Ahead Of Canada Jobs Data (07 hr(s), 20 min(s), 06 sec(s) ago)
(RTTNews) - At 8:30 am ET Friday, Statistics Canada will release Canada jobs data for November. Ah ...Full Story»

Dollar Mixed Ahead Of U.S. Jobs Data (07 hr(s), 20 min(s), 06 sec(s) ago)
(RTTNews) - At 8:30 am ET Friday, the Labour Department will release U.S. jobs data for November. ...Full Story»

Pound Little Changed After UK Halifax House Price Index (12 hr(s), 11 min(s), 06 sec(s) ago)
(RTTNews) - Following the release of UK Halifax house price data at 3:30 am ET Friday, the pound c ...Full Story»

Australian, New Zealand Dollars Climb On Trade Deal Hopes (13 hr(s), 20 min(s), 06 sec(s) ago)
(RTTNews) - The Australian and New Zealand dollar strengthened against their major counterparts in ...Full Story»

Euro Little Changed After German Industrial Output (13 hr(s), 38 min(s), 06 sec(s) ago)
(RTTNews) - At 2.00 am ET Friday, Destatis has published Germany's industrial output data for ...Full Story»

Euro Mixed Ahead Of German Factory Orders (13 hr(s), 50 min(s), 06 sec(s) ago)
(RTTNews) - At 2.00 am ET Friday, Destatis is scheduled to issue Germany's industrial output d ...Full Story»

Search

FOREX NEWS

Loonie Falls Following Canada Jobs Data

12/06/2019 - 08:34 AM (RTTNews)
(RTTNews) - At 8:30 am ET Friday, Statistics Canada has released Canada jobs data for November. Af ...Full Story>>

Dollar Climbs After U.S. Jobs Data

12/06/2019 - 08:34 AM (RTTNews)
(RTTNews) - After the release of U.S. jobs data for November at 8:30 am ET Friday, the greenback a ...Full Story>>

Dollar Mixed Ahead Of U.S. Jobs Data

12/06/2019 - 08:25 AM (RTTNews)
(RTTNews) - At 8:30 am ET Friday, the Labour Department will release U.S. jobs data for November. ...Full Story>>

Loonie Mixed Ahead Of Canada Jobs Data

12/06/2019 - 08:25 AM (RTTNews)
(RTTNews) - At 8:30 am ET Friday, Statistics Canada will release Canada jobs data for November. Ah ...Full Story>>

Pound Little Changed After UK Halifax House Price Index

12/06/2019 - 03:35 AM (RTTNews)
(RTTNews) - Following the release of UK Halifax house price data at 3:30 am ET Friday, the pound c ...Full Story>>
Copyright © 2019. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.