The euro weakened against the other major currencies in the early European session on Friday, after data showed that Germany’s private sector expanded at a slower pace in July.
Data from Markit Economics showed that the flash composite output index fell to 53.4 in July from 53.7 in June. The manufacturing PMI dropped to 51.5 in July, while it was expected to remain unchanged at 51.9.
The services Purchasing Managers’ Index came in at 53.7, down from 53.8 in June. It was forecast to rise to 54.
The euro fell to 0.7064 against the pound and 1.0511 against the Swiss franc, from early highs of 0.7091 and 1.0548, respectively.
Against the U.S. dollar and the yen, the euro dropped to 1.0935 and 135.52 from early highs of 1.0994 and 136.27, respectively.
If the euro extends its downtrend, it is likely to find support around 0.69 against the pound, 1.04 against the franc, 1.08 against the greenback and 134.00 against the yen.
At 4:00 am ET Friday, Markit is slated publish Eurozone flash PMI data for July. The flash composite index is expected to fall to 54 in July from 54.2 in June.
The material has been provided by InstaForex Company – www.instaforex.com