Forex - EUR/GBP trims gains after strong U.K. manufacturing PMI

Published 12/01/2010, 05:14 AM
EUR/USD
-
EUR/GBP
-
Investing.com – The euro trimmed gains against the pound on Wednesday, retreating from the daily high, after data showed that manufacturing activity in the U.K. rose unexpectedly in November, rising to the highest level since September 1994.

EUR/GBP retreated from 0.8396, the daily high, to hit 0.8371 during European morning trade, gaining 0.37%.

The pair was likely to find support at 0.8308, the low of September 16 and resistance at 0.8448, Tuesday’s high.

In a report, market research group Markit said that its U.K. manufacturing PMI rose to a seasonally adjusted 58.0 in November, after rising to 54.9 in October. Analysts had expected the manufacturing PMI to fall to 54.7 in November.

On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.

Commenting on the report, David Noble, chief executive officer at the Chartered Institute of Purchasing & Supply, said, “The reported increase in purchasing activity based on strong new orders points to ongoing recovery and renewed confidence.”

The euro was also up against the U.S. dollar, with EUR/USD gaining 0.74% to hit 1.3078.

Earlier Wednesday, official data showed that German retail sales rose significantly more-than-expected in October, hitting a 3-month high.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.