Investing.com - The euro edged higher against the pound on Thursday, pulling away from a three-day low but the single currency remained under pressure as negative economic data from the euro zone weighed on market sentiment.
EUR/GBP hit 0.8346 during European late morning trade, the daily high; the pair subsequently consolidated at 0.8333, adding 0.09%.
The pair was likely to find support at 0.8292, the low of March 16 and resistance at 0.8354, the high of March 20.
Official data showed that industrial new orders in the euro zone tumbled by a seasonally adjusted 2.3% in January, compared to expectations for a 2.1% drop. Industrial new orders for December were revised up to a 3.5% gain from a previously reported 1.9% increase.
The data came after Markit said in a report that its preliminary euro zone manufacturing purchasing managers’ index declined to 47.7 in March from a final reading of 49.0 the previous month, disappointing expectations for a rise to 49.6.
The report also indicated that the services purchasing managers’ index declined to 48.7 from 48.8 in February. Analysts had expected the services PMI to rise to 49.3 in March.
Earlier in the day, data showed that manufacturing activity in Germany slowed to the lowest level in four months in March, while the services sector also hit a four-month low.
In the U.K., the Office for National Statistics said earlier that retail sales fell by a seasonally adjusted 0.8% last month, disappointing expectations for a 0.5% decline.
Retail sales for January were revised down to a 0.3% gain from a previously reported 0.9% increase.
Core retail sales, which exclude automobile sales, fell 0.8%, compared to expectations for a 0.6% decline.
The euro was lower against the U.S. dollar with EUR/USD shedding 0.41%, to hit 1.5791.
Also Thursday, data showed that Chinese manufacturing activity contracted for a fifth consecutive month, underlining concerns over a possible slowdown in growth in the world’s second largest economy.
Later in the day, the U.S. was to publish official data on initial jobless claims. European Central Bank President Mario Draghi and Federal Reserve Chairman Ben Bernanke were also to speak at public engagements.
EUR/GBP hit 0.8346 during European late morning trade, the daily high; the pair subsequently consolidated at 0.8333, adding 0.09%.
The pair was likely to find support at 0.8292, the low of March 16 and resistance at 0.8354, the high of March 20.
Official data showed that industrial new orders in the euro zone tumbled by a seasonally adjusted 2.3% in January, compared to expectations for a 2.1% drop. Industrial new orders for December were revised up to a 3.5% gain from a previously reported 1.9% increase.
The data came after Markit said in a report that its preliminary euro zone manufacturing purchasing managers’ index declined to 47.7 in March from a final reading of 49.0 the previous month, disappointing expectations for a rise to 49.6.
The report also indicated that the services purchasing managers’ index declined to 48.7 from 48.8 in February. Analysts had expected the services PMI to rise to 49.3 in March.
Earlier in the day, data showed that manufacturing activity in Germany slowed to the lowest level in four months in March, while the services sector also hit a four-month low.
In the U.K., the Office for National Statistics said earlier that retail sales fell by a seasonally adjusted 0.8% last month, disappointing expectations for a 0.5% decline.
Retail sales for January were revised down to a 0.3% gain from a previously reported 0.9% increase.
Core retail sales, which exclude automobile sales, fell 0.8%, compared to expectations for a 0.6% decline.
The euro was lower against the U.S. dollar with EUR/USD shedding 0.41%, to hit 1.5791.
Also Thursday, data showed that Chinese manufacturing activity contracted for a fifth consecutive month, underlining concerns over a possible slowdown in growth in the world’s second largest economy.
Later in the day, the U.S. was to publish official data on initial jobless claims. European Central Bank President Mario Draghi and Federal Reserve Chairman Ben Bernanke were also to speak at public engagements.