The US services sector provided some good news for a change: The ISM Non-Manufacturing PMI rose to 54.6 points, exceeding expectations of 53.8 points. This halts the rally of EUR/USD.
The services sector is the largest in the US. This indicator is usually released before the Non-Farm Payrolls, providing an important hint. If it would have been released beforehand, it provide wrong guidance.
Last month, ISM Non-Manufacturing PMI was a bitter disappointment, falling to 52.8 points and showing a significant slowdown. Well, growth has picked up now, providing some hope.
EUR/USD now trades at 1.4546, around the same levels as before the release. USD/JPY is on the rise, reversing some of its early losses. USD/CHF is moving up more carefully.
Non-Farm Payrolls were a disaster this time: the US economy gained only 54K jobs, about a third of early and lowered expectations. Also the unemployment rate disappointed with a rise to 9.1%. This made stronger moves in the franc and yen. The euro bounced in both directions and eventually moved higher.
Earlier, Greece announced that the EU / ECB / IMF troika completed the inspection positively and that new plans will be laid out soon. This pushed the euro higher.
Resistance is at 1.4580 followed by 1.4650. Support is at 1.4520, followed by 1.4450. For more levels and analysis, see the EUR/USD forecast.
Share
