Euro Higher As Eurozone Factory Activity Improves To Record High
The euro gained ground against its most major counterparts in
the European session on Monday, as investors bet on a speedy
economic recovery after data showed that Eurozone manufacturing PMI
rose in April at the fastest pace since the survey began in
Final data from IHS Markit showed that the manufacturing PMI
rose to 62.9 in April from 62.5 in March. The flash score was
It was also the tenth successive month that the index has rose
above the 50.0 mark.
Growth rates for both manufacturing output and new orders
remained close to March's survey records as firms reported rising
German retail sales data for March beat forecasts, signaling
German retail sales grew by a real 7.7 percent on a monthly
basis in March, Destatis reported. That was faster than the 2.7
percent increase in February and 3 percent rise economists had
On a yearly basis, retail sales rebounded 11 percent, reversing
a 6.6 percent fall in the previous month and confounding
expectations for a decrease of 0.3 percent
The currency was further underpinned by risk appetite, as
investors became optimistic at the start of a week packed with
central bank meetings and top-tier economic data.
The euro edged higher to 132.16 against the yen, up from
Friday's close of 131.38. The euro is seen finding resistance
around the 133.00 area.
The euro rose to 1.2056 against the greenback, from its Asian
session's 10-day low of 1.2013. The euro is poised to find
resistance around the 1.22 level.
The euro gained to 1.0999 against the franc, after touching more
than a 2-month low of 1.0959 in the previous session. The next
likely resistance for the euro is seen around the 1.13 level.
The European currency was up against the aussie and the loonie,
at 1.5610 and 1.4841, respectively. Immediate resistance for the
euro is seen around 1.58 against the aussie and 1.50 versus the
The euro approached 1.6833 against the kiwi, its biggest level
since April 14. On the upside, 1.72 is possibly seen as its next
On the other hand, the euro eased off to 0.8690 against the
pound, from a high of 0.8710 seen at 3:00 am ET. If the euro falls
further, 0.84 is likely seen as its next support level.
Looking ahead, U.S. ISM manufacturing PMI for April and
construction spending for March are set for release in the New York