Eurozone: PMI and ECB minutes - Danske Bank


According to analysts from Danske Bank, the two key events next week in the Eurozone will be the PMIs and the minutes from the latest meeting of the European Central Bank. They see that the fragile manufacturing sector is not about to recover and expect a
further plunge in PMIs.

Key Quotes: 

“In the euro area the most important data items next week are the PMI prints from Germany and the euro area on Thursday. In July, the already fragile euro area manufacturing sector continued to plunge to 46.5 (a 6.5 year low) while the service sector held broadly steady at 53.2. Weak external demand and geopolitical risks still haunt the manufacturing sector while domestic demand underpins the service sector, albeit companies have become more cautious about investment and also started to reassess staff levels. Since none of these factors have faded since July, but actually turned worse, we expect the manufacturing PMI’s to continue to fall to 46.2 and see scope for a small deterioration in the service sector print to 52.9.”

“The ECB minutes on Thursday will also gain attention. The discussion of the new policy measures will be scrutinised, but we doubt much flavour in terms of operational details will be revealed as ‘tasked committees’ are working on this.”
 

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD extends recovery beyond 1.1050 on Saudi output headlines

News indicating that Saudi Arabia’s oil output would return to normal quicker than expected, lifted the market’s mood and weighed on the greenback. EUR/USD underpinned by improved Business Sentiment according to the German ZEW Survey.

EUR/USD News

GBP/USD rallies past 1.2500, reaches fresh multi-week highs

The GBP/USD pair is trading above the 1.2500 figure, getting a boost from easing demand for the greenback following relief news related to the crude oil market after the weekend attack to Saudi facilities.

GBP/USD News

USD/JPY drops back to recent range after hitting fresh 6-week highs

The USD/JPY pair spiked to 108.35, reaching the highest intraday level since August 1st and then pulled back to the 108.15/20 area.

USD/JPY News

Gold struggles to find direction, trades in tight range near critical $1,500 handle

The XAU/USD pair struggling to make a decisive move on Tuesday and continues to trade in a relatively tight range around the $1,500 handle.

Gold News

Saudi Arabia's oil output to be fully back online in next 2-3 weeks

Citing two sources briefed on the Saudi oil operations, Reuters reported that Saudi Arabia's oil output would return to normal levels quicker than initially thought.

Read more

Forex MAJORS

Cryptocurrencies

Signatures