Euro Rallies on Upbeat Euro Area PMIs, Falls on Strong US PMIs

The  euro today rallied higher against the  US dollar earlier today lifted by  positive PMI reports from across the  euro area released by  Markit Economics. The  EUR/USD currency pair later fell after the  release of  positive PMI data from the  US amid rising Sino-US tensions.
The EUR/USD currency pair today rallied to a high of 1.1008 in the mid-European session   before crashing to a low of 1.0937 in the American session but was off these lows at the time of writing.
The  currency pair fell during the  Asian session amid subdued action before recovering in  the  European session after the  release of  the  preliminary Markit France Manufacturing PMI, which came in  at  40.3 beating analysts estimates of  36.1; the  services PMI also beat expectations. The  flash manufacturing and  services PMI for  the  eurozone also beat analysts’ estimates boosting the  pair. However, the  preliminary Markit German manufacturing PMI print missed consensus estimates by  coming in  at  36.8 versus the  expected 39.2, but Germany’s services PMI beat expectations.
The  pair’s performance was also affected by  the  greenback’s swings as  tracked by  the  US Dollar Index, which hit a high of 99.51 today. The pair hit its daily high after the release of the disappointing US jobless claims report by  the  Department of  Labor. However,   the  pair fell after the  release of  upbeat US PMI data by  IHS Markit.
The  currency pair’s future performance is likely to  be affected by  geopolitical events and  US dollar dynamics.
The  EUR/USD currency pair was trading at  1.0954 as  at  18:40 GMT having dropped from a  high of  1.1008. The  EUR/JPY currency pair was trading at  117.94 having dropped from a  high of  118.52.
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