After weakening yesterday after poor retail sales data from Germany, the euro regained some of its strength.
In a speech yesterday, ECB President, Christine Lagarde, said that, “strong policy support will continue to provide a bridge over the pandemic and well into the economic recovery.” This comes ahead of the Bank’s next policy meeting on June 10, where officials will decide if there should be any changes to their current monetary support.
This morning, PMI data for the Eurozone’s services and manufacturing industries was released. Services PMI came in at 55.2 in May, little-changed from the preliminary estimate of 55.1 and pointing to the strongest pace of expansion since June 2018. For composite, which is a measure of both the services and manufacturing industries, there was a marked increase to 57.1 in May from 53.8 in April.
