Euro Advances As Eurozone PMI Beats Estimates

The euro was higher against its most major counterparts in the European session on Thursday, after a survey showed that the pace of contraction in the euro area business activity eased in November.

Flash survey results from S&P Global and Hamburg Commercial Bank showed that Eurozone composite PMI rose to 47.1 from 46.5 in October. The score was expected to rise to 46.9.

The services PMI came in at 48.2 in November, up from 47.8 in October and the consensus estimate of 48.1.

The manufacturing PMI advanced to 43.8 from 43.1, above estimates of 43.4.

Meanwhile, ECB Governing Council member Joachim Nagel indicated at an event in Milan that the European Central Bank might be nearing its terminal rate for interest rate hikes.

The euro remained firm against the greenback, touching a 2-day high of 1.0930. On the upside, 1.11 is possibly seen as its next resistance level.

The euro rose to 163.04 against the yen, reaching a 3-day high. The euro is seen finding resistance around the 165.00 level.

The euro edged up to 0.9648 against the franc, from an early fresh 2-week low of 0.9614. If the euro rises further, it may find resistance around the 0.985 level.

The euro recovered to 1.4948 against the loonie, 1.8066 against the kiwi and 1.6648 against the aussie, from an early 6-day low of 1.4895, 8-day low of 1.7991 and a fresh 2-week low of 1.6597, respectively. The next possible resistance for the euro is seen around 1.51 against the loonie, 1.84 against the kiwi and 1.70 against the aussie.

In contrast, the euro weakened to more than a 2-week low of 0.8683 against the pound. Next near term support for the currency is seen around the 0.84 level.