Youtrading UK
Português Español Français русский العربية
  • Markets
    • All
    • Commodities
    • Forex
    • Index
    • Stocks
    GBPUSD Technical Analysis – Potential Interim top

    GBPUSD Technical Analysis – Potential Interim top

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    Gold Technical Analysis – Back on the ropes

    Gold Technical Analysis – Back on the ropes

  • Charts
  • Economic Calendar
  • World
    Markets buoyant ahead of Powell testimony

    Markets buoyant ahead of Powell testimony

    Britain’s pound today reigns over the major currencies

    Britain’s pound today reigns over the major currencies

    UK Inflation data is positive while Japan’s trade data miss expectations

    UK Inflation data is positive while Japan’s trade data miss expectations

    Brent Crude Technical Analysis – $70.00 Next Target

    Brent Crude Technical Analysis – $70.00 Next Target

  • Economy
    Central Banks are keeping to the Ultra Loose policies

    Central Banks are keeping to the Ultra Loose policies

    Markets rotate on positive US data ahead of the FOMC

    Markets rotate on positive US data ahead of the FOMC

    Dr. Copper is doing very well

    Dr. Copper is doing very well

    Early trading will be quiet as 2 largest economies are on holiday today

  • Insights
    GBPUSD Technical Analysis – Potential Interim top

    GBPUSD Technical Analysis – Potential Interim top

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    Gold Technical Analysis – Back on the ropes

    Gold Technical Analysis – Back on the ropes

    EURUSD Technical Analysis – Range break in progress

    EURUSD Technical Analysis – Range break in progress

  • About Us
No Result
View All Result
Youtrading UK
  • Markets
    • All
    • Commodities
    • Forex
    • Index
    • Stocks
    GBPUSD Technical Analysis – Potential Interim top

    GBPUSD Technical Analysis – Potential Interim top

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    Gold Technical Analysis – Back on the ropes

    Gold Technical Analysis – Back on the ropes

  • Charts
  • Economic Calendar
  • World
    Markets buoyant ahead of Powell testimony

    Markets buoyant ahead of Powell testimony

    Britain’s pound today reigns over the major currencies

    Britain’s pound today reigns over the major currencies

    UK Inflation data is positive while Japan’s trade data miss expectations

    UK Inflation data is positive while Japan’s trade data miss expectations

    Brent Crude Technical Analysis – $70.00 Next Target

    Brent Crude Technical Analysis – $70.00 Next Target

  • Economy
    Central Banks are keeping to the Ultra Loose policies

    Central Banks are keeping to the Ultra Loose policies

    Markets rotate on positive US data ahead of the FOMC

    Markets rotate on positive US data ahead of the FOMC

    Dr. Copper is doing very well

    Dr. Copper is doing very well

    Early trading will be quiet as 2 largest economies are on holiday today

  • Insights
    GBPUSD Technical Analysis – Potential Interim top

    GBPUSD Technical Analysis – Potential Interim top

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    FTSE 100 Technical Analysis – Gains capped by inflation fears

    Gold Technical Analysis – Back on the ropes

    Gold Technical Analysis – Back on the ropes

    EURUSD Technical Analysis – Range break in progress

    EURUSD Technical Analysis – Range break in progress

  • About Us
No Result
View All Result
Youtrading UK
No Result
View All Result
Home Economy

Manufacturing PMI breakdown

Nathan Batchelor by Nathan Batchelor
22 January 2021
in Commodities, Economy, Forex, Index, Insights
0
Manufacturing PMI breakdown

Photo by Science in HD.

321
SHARES
7.7k
VIEWS
Share on FacebookShare on TwitterShare on WhatsApp

EU PMI Activity

The eurozone flash composite Purchasing Managing index for the month of January came In worse than economists had been expecting, with a reading of 47.5. The headline number marked another month of contraction and was notably down from December’s 49.1 final reading.

According to data inside the report the entertainment and hospitality sectors were hit hard due to the ongoing series of COVID-19 lockdowns across the eurozone. The manufacturing sector remained a bright spot for the EU economy, as factories remained busy and were allowed to open.

This was evident in the preliminary January eurozone Manufacturing PMI reading, as the headline number outpaced market expectations with a 54.7 reading. Germany and France, the growth engines of the eurozone continued to post robust PMI Manufacturing numbers.

The German Manufacturing PMI headline reading came in at 57.0, while the French Manufacturing PMI beat expectation with a 51.5 reading. The Service sector PMI reading for the entire eurozone beat expectations, but still remained in contraction with a 45.0 headline reading.

Traders and investors reacted negatively to the worsening flash PMI number for the eurozone and sold stocks. The German DAX, CAC40, ITA40, and ESP35 all sold-off after the PMI’s were released.

Worsening sentiment towards Italy was also to blame, as reports suggested that Italian Prime Minister was being tempted to hold a new election. Italian bond yields have notably risen today in response.

UK PMI Activity

The British pound currency and the FTSE100 index sold-off sharply this morning after the United Kingdom Services PMI reading for January came in at 38.8, which was far below market expectations.

Markets are all too aware that the services sector is the lifeblood of the UK economy, with traders quickly selling the British pound against a basket of top currencies and shorting UK stocks in response to the weak number. UK manufacturing activity also came in weaker-than-expected, however, it remained above 50, marking expansion.

Prior to the release of the negative services print the UK government had been speculating about closing of its border to other countries. Sentiment was therefore extremely fragile prior to today PMI data dump from the UK economy. Sterling has not been able to regain the 1.3700 handle and looks primed for further weakness.

US PMI Activity

The United States Purchasing Managers Index reading for the month of January came in far better than most economist had been predicting. The headline number came in at 59.1, which was also stronger than the previous month 57.1 reading.

January’s US Services PMI also beat market expectation with a red hot 57.5 headline reading. This was a surprise to many analysts considering that big cities such New York and California have been in lockdown.

IHS market remarked “Output growth accelerated in January to the second-fastest in almost six years, and business optimism about the year ahead surged higher. Over the past three months, business sentiment has been running at its highest since the start of 2015”.

The market reaction was muted, with the US dollar remaining under pressure against the euro currency, while US indices failed to rally. Gold and silver both remained under pressure and continued to nurse losses intraday.

Tags: CACCovid-19DAXESP35EURUSDFTSE100GBPUSDGOLDITA40PMISilverUS indices

Read also

GBPUSD Technical Analysis – Potential Interim top

GBPUSD Technical Analysis – Potential Interim top

26 February 2021
FTSE 100 Technical Analysis – Gains capped by inflation fears

FTSE 100 Technical Analysis – Gains capped by inflation fears

26 February 2021
Gold Technical Analysis – Back on the ropes

Gold Technical Analysis – Back on the ropes

26 February 2021
Stocks crash continues as bond jitters reverberate

Stocks crash continues as bond jitters reverberate

26 February 2021
EURUSD Technical Analysis – Range break in progress

EURUSD Technical Analysis – Range break in progress

25 February 2021
Euro Stoxx 50 Technical Analysis – In The Zone

Euro Stoxx 50 Technical Analysis – In The Zone

25 February 2021

Follow Us


CALL US

Categories
  • Commodities
  • Economy
  • Forex
  • Index
  • Insights
  • Markets
  • Stocks
  • World

Site Map

  • Home
  • Markets
  • Charts
  • Economic Calendar
  • World
  • Economy
  • Insights
  • About Us
Português Español Français русский العربية

A comprehensive website for traders, both experienced and new! Checkout our content and learn how to invest and speculate in the markets using margin traded products. Our team of educators has extensive experience and is here to help. Enjoy!

Follow us on social media

Risk Warning

All financial products traded on margin carry a high degree of risk to your capital. They are not suited to all investors, please ensure that you fully understand the risks involved, and seek independent advice if necessary.

All Rights Reserved - YouTrading UK 2020

Privacy Policy and Terms and Conditions
  • Home
  • My Academy
    • Register Now
    • Login
  • Markets
    • Opening of the Week
    • Stocks
    • Commodities
    • Forex
    • Index
  • Charts
  • Economic Calendar
  • Economy
  • World
  • Insights
  • About Us
No Result
View All Result

© 2020 YouTrading UK - Leaders in Trader Training.

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
Cookie settingsACCEPT
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.

Add New Playlist