FXstreet.com (Barcelona) - European markets are going through mild advances on Monday, as better than expected Eurozone Service PMI data has improved investors' sentiment, damaged after the big loss on September's U.S. payrolls. Euro and Pound, which opened European session with declines, are picking up after EU and UK PMI's.
Eurostoxx 50 Index rises 0.4%, while German DAX Index adds 0.3% and the French CAC Index edges up 0.15%. In the UK, the FTSE Index trades 0.3% up in the first two hours after the opening.
On the macroeconomic front, Eurozone Services PMI index bounced to 50.6 in September, from 49.9 in August. In the UK, services PMI Index has advanced to 55.3 in September from 54.1 in August, beating experts expectations of a slight advance to 54.4. PMI readings show expansion of the sector's activity on figures over 50, and contraction on levels below 50.
Pound picks up after PMI data
GBP/USD recovery from 1.5805 low on Friday has been capped at 1.6025 as the Pound gave away about 100 pips to 1.5925 at European session opening, but the pair has bounced on better than expected PMI and trades around 1.5962 at the moment of writing.
EUR/USD recovery from 1.4480 has been capped at 1.4655 on nearly European session, and the pair eased to 1.4610 at the moment of writing.
USD/JPY recovery from 88.60 low on Friday has been capped at 89.95, and the pair has remained trading between the mentioned level and 89.70, where the 100 hour SMA lies.