27, May 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

The euro grew against the dollar at Friday’s session, as besides politic news the Eurozone economy demonstrated the results better than it was expected. The Eurozone preliminary purchasing managers' index (PMI) grew to a three-month high in May, but remained in the zone of the recession, lower than 50.

The Purchasing Managers Index grew to 47.8 from 46.7 the forecast was 47.1, while the CIPS services index grew to 47.5 after 47.0 previous data, the forecast was 47.4. PMI showed a growth as well to 47.7 from 46.9. France and Germany did not show us anything unexpected still their news was not so bad. German PMI grew to 49.9 against 49.2 in April, while France remained at 44.3.

The head of the Bundesbank, Jens Weidmann said that the European Central Bank is not the single way out of the crisis in the euro zone, resisting pressure from other ECB policymakers seeking to expand the range of policy tools.

Speaking in Paris, Weidmann refused to comment the Ben Bernanke’s comments that the U.S. central bank could begin to cut back on bonds purchases and to take such a decision at one of its next meetings on monetary policy.