While a rebound in German private sector activity was positive, Eurozone private sector activity slowed to an 11-month low in January.
It was a busy day on the Eurozone economic calendar. Prelim January private sector PMIs for France, Germany, and the Eurozone were in focus.
In January, France’s manufacturing PMI slipped from 55.6 to 55.5, with the services PMI declining from 57.0 to 53.1. Economists had forecast PMIs of 55.5 and 55.3 respectively.
Germany’s manufacturing PMI jumped from 57.4 to 60.5, with the services PMI rising from 48.7 to 52.2. Economists had forecast PMIs of 57.0 and 48.0 respectively.
According to prelim figures, the Eurozone’s manufacturing PMI rose from 58.0 to 59.0, while the services PMI fell from 53.1 to 9-month low 51.2. Economists had forecast PMIs of 57.5 and 52.2 respectively. The manufacturing PMI hit a 5-month high, supported by the jump in German manufacturing sector activity.
As a result, the Composite PMI declined from 53.1 to an 11-month low 52.4 versus a forecast of 52.6.
According to the January prelim survey,
Ahead of today’s stats, the EUR had risen to a pre-stat and current day high $1.13253.
In response to today’s stats, the EUR fell to a post-stat and current day low $1.1310 before rising to a post-stat high $1.13365.
At the time of writing, the EUR was down by 0.18% to $1.13244.
Prelim January private sector PMIs for the U.S. While the services PMI will be key, expect inflation and supply chain sub-components to also draw attention as the January FOMC meeting gets underway later today.
With over 28 years of experience in the financial industry, Bob has worked with various global rating agencies and multinational banks. Currently he is covering currencies, commodities, alternative asset classes and global equities, focusing mostly on European and Asian markets.