BREAKING: EURUSD lifts as France and Germany services PMIs beat forecasts 🇫🇷 🇩🇪

08:50 AM BST, France - PMI Data for November:

• HCOB France Services PMI: actual 51.4; forecast 50.8; previous 48.0;

• HCOB France Composite PMI: actual 50.4; forecast 49.9; previous 47.7;

08:55 AM BST, Germany - PMI Data for November:

• HCOB Germany Services PMI: actual 53.1; forecast 52.7; previous 54.6;

• HCOB Germany Composite PMI: actual 52.4; forecast 52.1; previous 53.9;

France’s services sector returned to growth in November, its first expansion since August 2024. Activity and new orders increased, supported by stabilising export demand and backlog reductions. However, employment slipped, optimism stayed historically weak, and firms reported limited pricing power despite faster input-cost inflation. The rebound is encouraging but its durability remains uncertain.

Germany’s services sector continued to expand in November, with activity and new orders rising for the third consecutive month, though growth slowed from October. Employment ticked up modestly, backlogs declined, and inflationary pressures eased. Despite resilient demand, weaker foreign orders and cautious business sentiment highlight ongoing challenges for the sector.

EURUSD ticked back up after briefly retracting from key resistnece at 1.165. Data came up as a partial relief after weaker than expected performance of manufacturing last month, which sparked worries about the foundamentals of the ongoing economic recovery in the Eurozone. Today's ADP employement change data in the US will be crucial for a potential breakout from the ongoing consolidation.

Source: xStation5