Corporate foreign exchange news

PMI data may impact forex dealers

Tuesday, 23 August 2011 08:58:48 GMT

Published by Mark Smith-Halvorsen
Forex dealers may be impacted by the release of Purchasing Managers' Index (PMI) data relating to eurozone nations including France and Germany later today (August 23rd).
According to Reuters, the single currency's gains in foreign exchange trading this morning might be halted by any signs of weakness indicated by the information.
The newswire noted that uncertainty about the most effective way of handling the region's debt issues is affecting foreign exchange trading.
Versus the US dollar the euro traded at $1.4378, a 0.1 per cent increase on the previous day.
Commenting on the PMI data, Societe Generale analyst Sebastien Galy said: "Weaker growth in Germany would lead the market to think that help for peripheral Europe will be harder to come back."
Didi Weinblatt, USAA Investments in San Antonio, Texas' vice-president of mutual fund portfolios, recently told Reuters that the lack of alternative safe options available for investors is likely to support the US dollar.
For more information on foreign exchange treasury services and risk management, visit our Corporate FX site ADNFCR-2522-ID-800707510-ADNFCR
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