Eurozone PMI Reports Overview:
- The August Eurozone PMI reports are due out on Thursday, August 22 at 09:00 GMT, and the data are expected to show a further moderation in growth.
- EURUSD[1] remains in a symmetrical triangle, and it’s too early to tell if it’s a continuation or a bottoming effort.
- Retail traders have remained net-long since July 1 when EURUSD traded near 1.1366; price has moved 2.3% lower since then.[2]
Join me on Mondays at 7:30 EDT/11:30 GMT for the FX Week Ahead webinar, where we discuss top event risk over the coming days and strategies for trading FX markets around the events listed below.[3]
08/22 THURSDAY | 09:00 GMT | EUR Eurozone PMIs (AUG P)
The preliminary August French, German, and Eurozone PMI surveys due on Thursday will likely shape the tone that the ECB's Sabine Lautenschläger, Benoît Cœuré, and Philip Lane deploy at the Fed’s Jackson Hole Economic Policy Symposium. After all, with markets essentially discounting a coin flip’s chance of three rate cuts by the end of the year, every piece of data leading up to the September ECB meeting will be closely scrutinized. The forecast of 51.2 for the headline Eurozone Composite PMI would mark another shift lower in growth momentum, down from the 51.5 reading seen in July.
The past several weeks have produced disappointment on the Eurozone economic data front, at least when trying to take a look at economic data from an objective point of view. The Citi Economic Surprise Index for the Eurozone, a gauge of economic data momentum, is currently at -60.3;
