Private Sector PMIs Deliver Little EUR Support ahead of Key U.S StatsPrivate sector PMIs deliver little EUR support. This was in spite of the Eurozone Composite hitting a 180-month high at the end of the quarter.
After a quiet start to the week, prelim June private sector PMIs for France, Germany, and the Eurozone were in focus this morning.
According to prelim figures, the manufacturing PMI fell from 59.4 to 58.6, while the services PMI rose from 56.6 to 57.4.
Economists had forecast a manufacturing PMI of 59.0 and a services PMI of 59.4 respectively.
The manufacturing PMI rose from 64.4 to 64.9 with the services PMI increasing from 52.8 to 58.1.
Economists had forecast a manufacturing PMI of 63.0 and a services PMI of 55.5.
In May, the manufacturing PMI held steady at 63.1, while the services PMI increased from 55.2 to a 41-month high 58.0. Economists had forecast PMIs of 62.1 and 57.8 respectively.
A pickup in service sector activity across the Eurozone led to an increase in the composite from 57.1 to a 180-month high 59.2. Economists had forecast a rise to 58.8.
According to the Markit survey,
- Prices charged for goods and services rose at an unprecedented rate, with demand continuing to outstrip supply.
- While firms took on extra staff at the sharpest rate in almost 3-years, backlogs saw a record increase,
- New order growth accelerated to the fastest since June 2006.
- Business confidence rose to the highest level since data was first available in 2012.
In response to the PMIs, the EUR fell to a post-stat and current day low $1.19117 before rising to a post-stat and current day high $1.19456.
At the time of writing, the EUR was down by 0.05% to $1.19336.
Prelim private sector PMIs for June will also be in focus late in the European session.