Euro ended the day yesterday down against the pound, with continuing speculation over the length of the likely extension to the Brexit deadline from the European Union. Consumer confidence figures reflected growing concerns around the European economy, coming in lower than expected, at -7.6.
Tomorrow will be an important day for the eurozone, with manufacturing, services and composite PMI figures (and the same, too, for Germany). The ECB will also make its rate decision as Mario Draghi’s final one as President, before Christine Lagarde takes up his post, eight years after he began. She has not so far enjoyed as much support as Draghi – who has also come under criticism recently by those who don’t agree with his stimulus package – and so the markets will be watching the coming months closely.
The IHS Markit/BME Germany Manufacturing PMI increased to 41.9 in October 2019 from 41.7 in the previous month, but below market expectations of 42. The reading pointed to the tenth consecutive contraction in factory activity.
