Euro is stronger against the pound this morning, after a good day for economic releases. German and French manufacturing PMI both met market expectations, with just a small drop for German figures. Crucially, Italian manufacturing PMI came in better than expected, and an increase on the last month – a positive sign amid the country’s economic troubles.
Nonetheless, this is all relative to the times we’re in – the figures are still below the 50 mark, so the factory sectors are continuing to shrink. Although the markets reacted positively because of forecasts pricing the figures in, German manufacturing, for instance, is still near its 2012 low.
Euro is also up against the dollar today, as the latter fell on disappointing manufacturing PMI figures, which showed a decrease instead of the expected increase.
