Positive US Manufacturing PMI Data Boosts USD Against Bearish EUR and GBP

One Million Trade - 2024-03-01 14:45:00

Currency sentiment: USD - Neutral, EUR - Bearish, GBP - Bearish

Reference time frame: Short-term

The recently released data on the S&P Global US Manufacturing PMI for February showed an improvement from the previous month, with the actual data coming in higher than both the previous and forecasted figures. This indicates a positive momentum in the US manufacturing sector, which could potentially lead to increased economic activity and growth in the near future.

The positive PMI data could have a bullish impact on the US dollar as it suggests a strengthening of the US economy. Investors may view this as a sign of resilience in the face of global economic uncertainties, leading to increased demand for the USD.

On the other hand, the bearish sentiment surrounding the Euro (EUR) and British Pound (GBP) could persist due to the recent negative GDP figures and high inflation rates in both regions. The weak economic performance in Germany and the UK may continue to weigh on the EUR and GBP, respectively.

Overall, in the short-term, the USD may experience a boost in value against the EUR and GBP, driven by the positive manufacturing PMI data. However, it is essential to monitor other economic indicators and geopolitical developments to assess the long-term impact on currency markets.