Eurozone’s final Services PMI revised to 51.7, marking expansion after three months of contraction and supporting the Euro.
The Euro traded marginally higher against the US Dollar, with EUR/USD stabilizing around 1.1530 after Eurozone’s final HCOB Services PMI was revised upward to 51.7 from 51.6. The reading confirms a return to expansion after three months of contraction, driven by a rebound from June’s 49.4 print.
Germany’s Services PMI was also revised higher to 49.8, while France’s reading was adjusted downward to 49.6. Italy and Spain reported expansionary PMIs. Lower oil prices and optimism over Middle East diplomacy further supported the Euro.
The US Dollar weakened amid a risk-on mood and diminishing expectations of a Federal Reserve rate hike in September.