German/ Eurozone flash PMIs preview: What to expect of EUR/USD?

By FXStreet Having taken-out Friday’s high near 1.1240 in the last hour, the EUR/USD pair consolidates the upside amid broad based US dollar weakness. The major manages to hold 5-DMA support at 1.1220, despite recovering risk sentiment as the Asian indices pare losses along with the oil prices.

Meanwhile, the main currency pair now awaits fresh impetus from a raft of flash manufacturing and services PMIs from the Euro area economies lined up for release 07.00GMT onwards.

German new business orders to continue its improvement in May?

Amongst the Euro are economies, the PMI reports from Germany and Eurozone as an entire bloc hold more relevance, in terms of its impact on the European currency and the markets as well.

The forecast for the Eurozone flash manufacturing PMI shows 51.9 for May, slightly higher than the 51.7 recorded a month ago, and the Eurozone services sector is also expected to show a higher result of 53.3 from the final 53.1 reported in April.

The flash manufacturing PMI for Germany is seen higher at 52.0 compared to the final 51.8 result recorded in April. While, the index for the services sector is expected to come in at 54.6 in May, against 54.5 seen previously.

Despite a …read more

Source:: FX Street