Euro Slides As German Private Sector Growth Slows To Near 4-yr Low
November 22 2018 - 11:24PM
RTTF2
The euro weakened against its major counterparts in the European
session on Friday, as a data showed that German private sector
growth slowed for the third consecutive month in November, driven
by a slowdown in expansion in service activity and manufacturing
output.
Flash estimates from IHS Markit showed that the composite
purchasing managers' index, or PMI, which combines manufacturing
and services, fell to to a 47-month low of 52.2 from 53.4 in
October. Economists had expected a score of 53.1.
The manufacturing PMI dropped to a 32-month low of 51.6 in
November, from 52.2 in the previous month. Economists were looking
for a reading of 52.2.
Meanwhile, European stocks were higher as investors await next
week's G20 summit and the weekend EU summit on Brexit for
directional clues.
In her statement to the House of Commons, British Prime Minister
Theresa May said that the draft deal is good for both sides and
allows Britain to control migration.
The currency was higher against its major counterparts in the
Asian session, with the exception of the yen.
The euro declined to a 3-day low of 1.1365 against the
greenback, from a high of 1.1421 hit at 1:30 am ET. The next
possible support for the euro is seen around the 1.12 mark.
After rising to 128.92 against the yen at 10:45 pm ET, the euro
reversed direction and slipped to a 2-day low of 128.30. The euro
is seen finding support around the 126.00 level.
The euro reversed from an early high of 1.1355 against the Swiss
franc, dropping to 1.1324. The euro is likely to find support
around the 1.12 level.
The single currency reached as low as 0.8850 against the pound,
down from a high of 0.8877 seen at 3:15 am ET. If the euro weakens
further, 0.87 is possibly seen as its next support level.
The common currency weakened to a 4-day low of 1.5019 against
the loonie, after rising to 1.5077 at 2:15 am ET. On the downside,
1.49 is likely seen as the next support level for the euro.
Reversing from its early highs of 1.5756 against the aussie and
1.6778 against the kiwi, the euro dropped to 1.5700 and 1.6700,
respectively. The euro is poised to find support around 1.56
against the aussie and 1.66 against the kiwi.
Looking ahead, Canada retail sales for September and consumer
inflation for October are due in the New York session.
Euro vs CAD (FX:EURCAD)
Forex Chart
From Mar 2024 to Apr 2024
Euro vs CAD (FX:EURCAD)
Forex Chart
From Apr 2023 to Apr 2024