- EUR/USD attracts some sellers around 1.0795 in early Wednesday.
- November’s Eurozone Composite PMI arrived at 47.6 vs. 47.1 prior, above the market consensus of 47.1.
- US ISM Services PMI for November came in better than expected, rising to 52.7 from 51.8 in the previous reading.
- Investors await the Eurozone Retail Sales and US ADP private employment data.
The EUR/USD pair remains under selling pressure below the 1.0800 psychological mark during the early Asian session on Wednesday. The upbeat Eurozone PMI data for November failed to inspire the Euro (EUR) amid the persistently weak demand in the Eurozone. At press time, the major pair is trading around 1.0795, up 0.01% on the day.
The HCOB Eurozone Composite PMI, a combined measure of the manufacturing and service sectors, remained below the 50.0 threshold in November, showing an ongoing decline in private sector output levels throughout the eurozone. November’s Eurozone Composite PMI arrived at 47.6 versus 47.1 prior, above the market consensus of 47.1. Meanwhile, HCOB Services PMI climbed to 48.7 from the previous reading of 48.2.
Additionally, major eurozone economies experienced a decline in business activity, with France, Germany, and Italy leading the way. This, in turn, weighs on the EUR and acts as a tailwind for the EUR/USD pair.
Across the pond, the US Dollar (USD) gains ground near 104.00 despite the lower US Treasury bond yields. The economic data on Tuesday showed that the US ISM Services PMI for November beat market expectations, rising to 52.7 from 51.8 in the previous reading. Meanwhile, JOLTS Job Openings declined by 617,000 to 8.73 million in October, falling to their lowest level since March 2021, according to a Bureau of Labour Statistics report.
Moving on, traders will focus on the Eurozone Retail Sales for October. The annual figure is expected to drop 1.1% while the monthly figure is estimated to grow 0.2%. On the US docket, the US ADP private employment and Unit Labor Cost data will be due later on Wednesday.
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