It was a particularly busy day on the Eurozone economic calendar ahead of key stats from the U.S late today.
Service sector PMI numbers for August were in focus along with Eurozone retail sales figures this morning. While the stats were of influence, the markets were holding out for August nonfarm payroll figures from the U.S, however, muting the impact of the numbers on the European majors.
Member State Services
For Spain, the services PMI fell from 61.9 to 60.1 versus a forecasted fall to 61.5.
Italy’s services sector PMI held steady at 58.8, however, versus a forecasted 58.5.
France’s services PMI fell from 56.8 to 56.3, which was down from a prelim 56.4
Numbers from Germany also failed to impress. In August, the PMI fell from 61.8 to 60.8 versus a prelim 61.5.
The Eurozone
In August, the Eurozone’s services PMI fell from 59.8 to 59.0, which was down from a prelim 59.7.
As a result, the Eurozone’s composite PMI fell from 60.2 to 59.0, which was down from a prelim 59.5.
According to the August composite survey,
- Economic momentum only faded marginally from July’s 15-year peak.
- Job growth was at the fastest rate seen in over 2-decades as firms look to respond to demand
- In August, Italy bucked the trend, registering the fastest output growth for over 15-years.
- The Euro area saw a strong intake in new work in spite of easing from July levels.
- Demand was strong, with new manufacturing sector orders leading the way.
Retail Sales
In July, Eurozone retail sales slid 2.3%, month-on-month, reversing a 1.5% increase from June.
Market Impact
Ahead of today’s figures, the EUR had risen to a pre-stat and current high $1.18843 before falling back.
In response to today’s stats, the EUR rose to post-stat high $1.18828 before falling to a post-stat and current day low $1.18662.
At the time of writing, the EUR was up by 0.01% to $1.18759.
Next Up
U.S nonfarm payrolls and ISM Non-Manufacturing PMIs. While non-manufacturing data will influence, it will boil down to the NFPs…
