PMIs Lift Euro and Bond Yields

The European single currency and euro zone government bond yields rose on Wednesday after a survey showed the bloc’s manufacturing businesses had their best month of growth in six-and-a-half years.U.S. stocks looked set to open lower, with Wall Street futures down 0.3 percent. ESc1 1YMc1 NQc1Forecast-beating surveys in the euro zone’s two biggest economies, France and Germany , helped pull the euro up against the dollar EUR=EBS, which had wobbled against the yen overnight on comments from U.S. President Donald Trump.

Speeches from European Central Bank President Mario Draghi and Fed Chair Janet Yellen will headline the annual Jackson Hole event, although neither are expected to announce any significant policy.

“The ECB is clearly very concerned about the recent appreciation in the euro … and recent ‘misinterpretations’ by traders to Draghi’s comments will likely mean he steers clear (of discussing policy) once again,” said Craig Erlam, senior market analyst at OANDA.

Source: Euro, bond yields rise on buoyant business surveys

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Craig Erlam

Craig Erlam

Senior Currency Analyst at OANDA
Based in London, England, Craig Erlam joined OANDA in 2015 as a Market Analyst. With more than five years' experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while conducting macroeconomic commentary. He has been published by The Financial Times, Reuters, the Wall Street Journal and The Telegraph, and he also appears regularly as a guest commentator on networks including Sky News, Bloomberg, CNBC and BBC. Craig holds a full membership to the Society of Technical Analysts and he is recognized as a Certified Financial Technician by the International Federation of Technical Analysts.
Craig Erlam

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