Eurozone Preliminary Manufacturing PMI beats estimates with 63.3 in April
|- Eurozone Manufacturing PMI arrives at 63.3 in Apr vs. 62.0 expected.
- Bloc’s Services PMI expands to 50.3 in Apr vs. 49.1 expected.
The Eurozone manufacturing sector activity improved much beyond expectations in the reported month, the latest manufacturing activity survey from IHS/Markit research showed on Friday.
The Eurozone Manufacturing purchasing managers index (PMI) improved from 62.5 in March to 63.3 in April and beat 62.0 expectations by a big margin. The gauge hit the highest since June 1997.
The bloc’s Services PMI jumped to eight-month highs of 50.3 in April vs. 49.1 expected and 49.6 last.
The IHS Markit Eurozone PMI Composite expanded to 53.7 in Apr vs. 52.8 expected and 53.2 previous.
Comments from Chris Williamson, Chief Business Economist at IHS Markit
“In a month during which virus containment measures were tightened in the face of further waves of infections, the eurozone economy showed encouraging strength.”
“Although the service sector continued to be hard hit by lockdown measures, it has returned to growth as companies adjust to life with the virus and prepare for better times ahead.”
FX implications
The shared currency extends gains against the US dollar after strong Eurozone PMI readings.
The spot trades at daily highs of 1.2057, 0.35% stronger on the day, as of writing.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.