The Euro traded higher by 0.6 percent in yesterday’s trading session; taking cues from upbeat sentiments in the global markets due to signs that global manufacturing is improving. Additionally, a weaker dollar also provided further support for the currency on Wednesday. The Euro touched an intra-day high of 1.3218 and closed at 1.3157 yesterday.
Final Manufacturing PMI increased to 48.8-level in January from the previous mark of 48.7 in previous month. CPI Flash Estimate remained unchanged at 2.7 percent in January.
Outlook
We expect the Euro to trade higher today on the back of upbeat sentiments in the global markets coupled with a weaker dollar.
However, concerns with respect to Euro Zone debt crisis still persist and any negative news or developments from the Euro Zone front may lead to downside pressure on the currency.
Courtesy:Angel Broking
