This morning’s report on new industrial orders across the euro zone gave some investors a fright. The data, released by Eurostat, revealed a sudden contraction in demand for new industrial orders throughout the region. With consumer and business confidence in decline, the euro (EUR) appears set to take heavy losses this week.
Industrial demand figures in to a region’s productivity. With yesterday’s reports of positive growth in manufacturing PMI, the sudden downturn in industrial data seems to offset yesterday’s optimistic gains. The confidence reports from ZEW and Ifo these past two days are also undermining the gains seen from the recent string of PMI reports. Look to a weakening euro this week.
Read more forex trading news on our forex blog.