EUR/USD: Euro declined following weak Italian and Spanish PMI data

GCI Forex News - EUR/USD: Euro declined following weak Italian and Spanish PMI data

?

EURUSD Movement

For the 24 hours to 23:00 GMT on Friday, EUR declined 1.00% against the USD and closed at 1.2817, amid disappointing manufacturing data from Spain and Italy. Moreover, the greenback rose after an increase in the US non-farm payroll employment and factory orders in October, raising investor speculation that the Federal Reserve may be less likely to embark on further quantitative easing.

In economic news, Euro zone?s manufacturing purchasing managers? index (PMI) rose to 45.4 in October, from 45.3 in the previous month. Meanwhile, Germany?s manufacturing PMI rose to a seasonally adjusted 46.0 in October, from 45.7 in the previous month. Separately, on a seasonally adjusted basis, French manufacturing PMI rose to 43.7 in October, compared to a reading of 43.5 in the previous month. Also, on a seasonally adjusted basis, Spanish manufacturing PMI declined to a reading of 43.5 in October, while the Italian manufacturing PMI declined to 45.5 in October.

In the US, non-farm payroll employment increased by 171,000 jobs in October, following an upwardly revised increase of 148,000 jobs in September. Meanwhile, factory orders rose 4.8% (MoM) in September, compared to a revised 5.1% fall in August. However, unemployment rate rose to 7.9% in October, from 7.8% in September.

In the Asian session, at GMT0400, the pair is trading at 1.2825, with the EUR trading marginally higher from Friday?s close. Investors remain cautious ahead of Tuesday?s Presidential elections in the US.

Later today, the Greek government is to present an austerity plan calling for ?13.5 billion in spending cuts and tax hikes to Parliament in the face of strikes.

However, Greek newspaper, Kathimerini had last week reported that the ruling coalition is struggling to round up votes necessary to back a package of ?13.5 billion ($17.42 billion) in fresh austerity measures demanded by Greece?s lenders.

The pair is expected to find support at 1.2781, and a fall through could take it to the next support level of 1.2737. The pair is expected to find its first resistance at 1.2904, and a rise through could take it to the next resistance level of 1.2983.

Trading trends in the pair today are expected to be determined by the release of Sentix investor confidence in the Euro-zone.

The currency pair is trading below its 20 Hr and 50 Hr moving averages.

Source: http://forexnews.gcitrading.com/currencies/eurusd/eurusd-euro-declined-following-weak-italian-and-spanish-pmi-data.htm

heidi klum and seal divorce craigslist killer extremely loud and incredibly close south carolina primary squirrel appreciation day billy beane kathy griffin