Investing.com – The euro trimmed losses against the U.S. dollar on Tuesday, retreating from a 4-day low after the release of a flurry of better-than-expected euro zone PMI data.
EUR/USD hit 1.3584 after retreating from 1.3525, the pair’s lowest since November 17, during European morning trade, shedding 0.31%.
The pair was likely to find support at 1.3446, the low of November 16 and a 7-week low and resistance at 1.3785, Monday’s high.
Earlier in the day, preliminary data showed that growth in Europe’s services and manufacturing industries rose unexpectedly in November.
The euro zone manufacturing PMI rose to 55.5 in November after rising to a revised 54.6 in October. Analysts had expected the PMI to decrease to 54.4 in November.
The euro zone services PMI rose to 55.2 in November, beating expectations of a decrease to 53.2, after climbing to a revised 53.3 in October.
Meanwhile, Germany’s manufacturing PMI rose more-than-expected in November, climbing to 58.9, after rising to a revised 56.6 in October. Analysts had expected the PMI to rise to 57 in November.
On the index, a reading above 50 indicates expansion.
Commenting on the report, Chris Williamson, chief economist at Markit, said economic growth across Europe “remains very unbalanced”. He added, “Growth outside of France and Germany appears to be stagnating at best.”
The euro was also down against the pound, with EUR/GBP shedding 0.12% to hit 0.8528.
Later Tuesday, the U.S. was to publish revised figures on third quarter GDP as well as data on existing home sales and manufacturing. In addition, the Federal Reserve was to publish the minutes of its November monetary policy meeting while the euro zone was to publish data on German consumer climate.
EUR/USD hit 1.3584 after retreating from 1.3525, the pair’s lowest since November 17, during European morning trade, shedding 0.31%.
The pair was likely to find support at 1.3446, the low of November 16 and a 7-week low and resistance at 1.3785, Monday’s high.
Earlier in the day, preliminary data showed that growth in Europe’s services and manufacturing industries rose unexpectedly in November.
The euro zone manufacturing PMI rose to 55.5 in November after rising to a revised 54.6 in October. Analysts had expected the PMI to decrease to 54.4 in November.
The euro zone services PMI rose to 55.2 in November, beating expectations of a decrease to 53.2, after climbing to a revised 53.3 in October.
Meanwhile, Germany’s manufacturing PMI rose more-than-expected in November, climbing to 58.9, after rising to a revised 56.6 in October. Analysts had expected the PMI to rise to 57 in November.
On the index, a reading above 50 indicates expansion.
Commenting on the report, Chris Williamson, chief economist at Markit, said economic growth across Europe “remains very unbalanced”. He added, “Growth outside of France and Germany appears to be stagnating at best.”
The euro was also down against the pound, with EUR/GBP shedding 0.12% to hit 0.8528.
Later Tuesday, the U.S. was to publish revised figures on third quarter GDP as well as data on existing home sales and manufacturing. In addition, the Federal Reserve was to publish the minutes of its November monetary policy meeting while the euro zone was to publish data on German consumer climate.