The euro had a strong week last week, rising against the dollar to levels not seen since 2018. The single currency is still strong this morning, benefiting from it’s new-found energy due to the European recovery fund. This was finalised last Monday and meant that the euro went from strength to strength as the week progressed.
It’s a busy week of data for the Eurozone, with German and European GDP data. We’ll also see German retail sales and French inflation rate figures. This morning, IHS Markit Germany Manufacturing PMI increased to 50 in July of 2020 from 45.2 in June, beating forecasts of 48. It is the first time in 19 months that the activity has not contracted as more factories resumed operations.
Manufacturing PMI for the Eurozone was also released, increasing to 51.1 in July from 47.4 in June, beating market forecasts.
