After 10:00 IHS Markit published results of composite and service PMI for the euro area for April. Values have beaten initial publications, strengthening on six-year maxima.
As a curiosity it is worth pointing out that the results for Italy reached more than ten years highs. As for the overall indicators, it looked as follows:
- Service PMI: 56.40, initial reading 56.20, previously 56.00
- Total PMI: 56.80, pre-reading 56.70, previously 56.40
According to IHS Markit economists, the final April readings show a very strong picture of the economy at the beginning of the second quarter showing that the euro zone’s situation is starting to stabilize. PMI results are in line with GDP projections for the coming months.
EUR/USD makes session highs
EUR/USD quotes before 09:00 moved in a very narrow channel of volatility. Attempts to draw new session minima, however, led to a dynamic response of demand and a break of 1.0900 resistance. The PMI for the euro area has added several pips to help overcome Thursday’s peaks:
On the broader perspective, however, the growth has not stopped in a random place. The resistance zone at 1.0920 in recent days has repeatedly blocked the attacks on Eurodollar demand:
