Prelim November Private Sector PMIs Deliver EUR Support

After a quiet start to the week and disappointing Eurozone consumer confidence figures, private sector PMIs impressed this morning.

Member States

France’s manufacturing PMI rose from 53.6 to 54.6 in November, with the services PMI up from 56.6 to 58.2.

In Germany, the manufacturing sector PMI slipped from 57.8 to 57.6, while the services PMI rose from 52.4 to 53.4.

At composite level, the French private sector outgunned the German private sector.

In November, France’s composite PMI rose from 54.7 to 56.3, while Germany’s increased from 52.0 to 52.8.

The Eurozone Private Sector

the manufacturing PMI rose from 58.3 to a 2-month high 58.6, with the services PMI increasing from 54.6 to 6-month high 56.6.

As a result, the Composite PMI increased from 54.2 to 2-month high 55.8

According to the Eurozone’s prelim November survey:

• A pickup in private sector activity, from October’s 6-month low, was accompanied by a further marked increase in inflationary pressures.
• Firms’ costs and average selling prices charged for goods and services both rose at record rates.
• Although the rate of job creation rose to the 2^nd highest in over 21-years to meet demand, optimism waned.
• Renewed COVID-19 worries and lingering supply constraints left optimism at a 10-month low.

Market Impact

Ahead of today’s stats, the EUR had fallen to a pre-stat and current day low $1.12261 before finding support.

In response today’s PMI numbers, the EUR rose to a post-release and current day high $1.12701.

At the time of writing, the EUR was up by 0.27% to $1.12677.

Next Up

U.S prelim private sector PMIs for November will be in focus later today, with the services PMI key.

Away from the economic calendar, COVID-19 news updates will remain an area of interest.