EUR/USD Falls Despite Strong Eurozone PMIs, Eyes on Upcoming Fed Meeting
The EUR/USD pair traded lower near 1.1370 on Friday despite strong Eurozone PMI data, while the US Dollar Index (DXY) remained firm near 101.50.
Germany's preliminary HCOB Composite Purchasing Managers Index (PMI) climbed to 51.2 in July from 49.5, exceeding expectations of 49.8 and returning to expansion territory.
The Eurozone also saw improved business activity, with the Composite PMI increasing to 51.9 from 50.0, beating the 50.3 forecast.
In contrast, the US preliminary S&P Global Manufacturing PMI eased to 53.8 and missed expectations of 54.5, while the Services PMI surged to 53.6 from 51.2, significantly exceeding the 51.0 forecast.
The strong services reading may keep US Treasury yields supported and prevent a deeper decline in the Greenback.