European Session – Euro rebounds on upbeat Spanish jobs data
December 3, 2013 1:17 pm
The dollar gave up gains against most of its major counterparts in European session trading on Tuesday, reversing profits driven by Monday’s ISM manufacturing PMI data as well as encouraging construction data from the US.
Monday’s strong ISM manufacturing report helped drive the dollar higher but market participants are being cautious and took profits ahead of key US jobs data due on Wednesday (ADP jobs) and on Friday (nonfarm payrolls).
The dollar reversed lower against the yen after hitting a fresh 6-month high of 103.36 in the Asian session today and declined to end at 102.60 in Europe with a 0.5% loss.
The euro rebounded from a 1-week low against the dollar after some brighter news on Spain’s job market. Data today showed the number of unemployed people fell more-than-expected in November, by 2,500, defying expectations of a further increase of 50,000 unemployed.
The news of a decline in jobless numbers was welcomed by markets which shrugged off other data showing Euro zone industrial producer prices dropped 0.5% month-over-month in October from November’s 0.2% drop.
The euro climbed 0.15% versus the dollar to end the European session at 1.3574, up from the Asian session close of 1.3551.
Sterling climbed closer to a 2-year high against the dollar after being boosted by stronger-than-forecast UK construction PMI, which rose for a 7th straight month and at the fastest pace since August 2007.
The pound gained 0.16% to 1.6410.
Data due for release in the upcoming US session will be on total vehicle sales in the United States.
The dollar gave up gains against most of its major counterparts in European session trading on Tuesday, reversing profits driven by Monday’s ISM manufacturing PMI data as well as encouraging construction data from the US.
Monday’s strong ISM manufacturing report helped drive the dollar higher but market participants are being cautious and took profits ahead of key US jobs data due on Wednesday (ADP jobs) and on Friday (nonfarm payrolls).
The dollar reversed lower against the yen after hitting a fresh 6-month high of 103.36 in the Asian session today and declined to end at 102.60 in Europe with a 0.5% loss.
The euro rebounded from a 1-week low against the dollar after some brighter news on Spain’s job market. Data today showed the number of unemployed people fell more-than-expected in November, by 2,500, defying expectations of a further increase of 50,000 unemployed.
The news of a decline in jobless numbers was welcomed by markets which shrugged off other data showing Euro zone industrial producer prices dropped 0.5% month-over-month in October from November’s 0.2% drop.
The euro climbed 0.15% versus the dollar to end the European session at 1.3574, up from the Asian session close of 1.3551.
Sterling climbed closer to a 2-year high against the dollar after being boosted by stronger-than-forecast UK construction PMI, which rose for a 7th straight month and at the fastest pace since August 2007.
The pound gained 0.16% to 1.6410.
Data due for release in the upcoming US session will be on total vehicle sales in the United States.
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