Investing.com - The euro was slightly lower against the dollar on Thursday after mixed euro zone private sector data indicated that the economic recovery in the region is faltering.
EUR/USD was down 0.13% to 1.3421 from Wednesday’s close of 1.3437, after falling as low as 1.3399 earlier.
The pair was likely to find support at 1.3358, the low of November 12 and resistance at 1.3441, the session high.
Data released on Thursday showed that manufacturing activity in the euro zone expanded in line with forecasts in November, but service sector activity declined unexpectedly.
The euro zone’s manufacturing purchasing managers’ index ticked up to 51.5 in November from a final reading of 51.3 in October.
The currency bloc’s services PMI declined to 50.9 this month from 51.6 in October, disappointing expectations for an increase to 51.9.
“The average reading over the fourth quarter so far is signaling a very modest 0.2% expansion of GDP across the region, and it looks like momentum is being lost again”, Chris Williamson, chief economist at Markit said.
The euro found some support after Germany's manufacturing PMI rose to a 29 month high of 52.5 in November, from 51.7 in October, while the services sector PMI rose to a nine-month high of 54.5 from 52.9.
The euro fell to session lows against the dollar earlier after weaker-than-expected French data indicated that activity in the euro zone’s second-largest economy contracted for the first time in three months in November.
The French manufacturing PMI fell to a six-month low of 47.8 from 49.1 last month, while the services PMI dropped unexpectedly to a four-month low of 48.8 from 50.9.
Demand for the dollar continued to be underpinned after the minutes of the Federal Reserve’s October meeting indicted that the bank could start scaling back the USD85 billion-a-month asset purchase program in the “coming months” if the economy continues to improve as expected.
The euro was higher against the broadly weaker yen, with EUR/JPY up 0.67% to 135.36, holding below the four-year high of 135.93 struck on Wednesday.
The shared currency was almost unchanged against the pound, with EUR/GBP edging up 0.04% to 0.8348.
Elsewhere, the dollar traded up to four-month highs against the yen, with USD/JPY climbing 0.80% to 100.82.
EUR/USD was down 0.13% to 1.3421 from Wednesday’s close of 1.3437, after falling as low as 1.3399 earlier.
The pair was likely to find support at 1.3358, the low of November 12 and resistance at 1.3441, the session high.
Data released on Thursday showed that manufacturing activity in the euro zone expanded in line with forecasts in November, but service sector activity declined unexpectedly.
The euro zone’s manufacturing purchasing managers’ index ticked up to 51.5 in November from a final reading of 51.3 in October.
The currency bloc’s services PMI declined to 50.9 this month from 51.6 in October, disappointing expectations for an increase to 51.9.
“The average reading over the fourth quarter so far is signaling a very modest 0.2% expansion of GDP across the region, and it looks like momentum is being lost again”, Chris Williamson, chief economist at Markit said.
The euro found some support after Germany's manufacturing PMI rose to a 29 month high of 52.5 in November, from 51.7 in October, while the services sector PMI rose to a nine-month high of 54.5 from 52.9.
The euro fell to session lows against the dollar earlier after weaker-than-expected French data indicated that activity in the euro zone’s second-largest economy contracted for the first time in three months in November.
The French manufacturing PMI fell to a six-month low of 47.8 from 49.1 last month, while the services PMI dropped unexpectedly to a four-month low of 48.8 from 50.9.
Demand for the dollar continued to be underpinned after the minutes of the Federal Reserve’s October meeting indicted that the bank could start scaling back the USD85 billion-a-month asset purchase program in the “coming months” if the economy continues to improve as expected.
The euro was higher against the broadly weaker yen, with EUR/JPY up 0.67% to 135.36, holding below the four-year high of 135.93 struck on Wednesday.
The shared currency was almost unchanged against the pound, with EUR/GBP edging up 0.04% to 0.8348.
Elsewhere, the dollar traded up to four-month highs against the yen, with USD/JPY climbing 0.80% to 100.82.