This week's US and EZ PMI's reviewed - UOB

Ross J Burland FXStreet

Analysts at UOB broke down the recent PMI's for the eurozone and US economy.

Key Quotes:

"The US Markit PMI flash manufacturing reading for July increased to 53.2 from the June reading of 52.0. This was above consensus estimates of 52.2 and the highest reading for 4 months. The services-sector index was unchanged on the month at 54.2, in line with consensus forecasts. The composite output index strengthened to a six-month high of 54.2 from 53.9 previously.

The Markit Eurozone flash PMI manufacturing index declined to 56.8 for July from 56.8 previously. This was below expectations of 57.3 and the lowest reading for 3 months. The services-sector reading was unchanged at 55.4 for the month and marginally below consensus forecasts of 55.5. The composite output index declined to a six-month low of 55.8 for July from 56.3 the previous month."

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

EUR/USD makes a U-turn, focus on 1.1900

EUR/USD’s recovery picks up further pace, prompting the pair to retarget the key 1.1900 barrier amid further loss of momentum in the US Dollar on Wednesday. Moving forward, investors are expected to remain focused on upcoming labour market figures and the always relevant US CPI prints on Thursday and Friday, respectively.

GBP/USD sticks to the bullish tone near 1.3660

GBP/USD maintains its solid performance on Wednesday, hovering around the 1.3660 zone as the Greenback surrenders its post-NFP bounce. Cable, in the meantime, should now shift its attention to key UK data due on Thursday, including preliminary GDP gauges.

Gold holds on to higher ground ahead of the next catalyst

Gold keeps the bid tone well in place on Wednesday, retargeting the $5,100 zone per troy ounce on the back of modest losses in the US Dollar and despite firm US Treasury yields across the curve. Moving forward, the yellow metal’s next test will come from the release of US CPI figures on Friday.