Release Explanation: Measures the activity level of Purchase Managers. They are surveyed on production, employment, inventories, orders, and delivery data. The PMI is split into reads on Manufacturing, Service, and Construction industries. A read over 50 denotes growth.

Trade Desk Thoughts: The German service PMI was released at 41.6, showing the industry has contracted during the last five months, while the manufacturing index came at 32.2, as expected. It seems that the manufacturing side of the economy is being affected much more by the global slowdown than the service side. The poor business conditions have caused business owners to have the grimmest outlook in the last decade, when the index first began. In addition, it seems the recent data points to a strong reduction in the employment level.

Forex Technical Reaction: The euro struggled to take out TheLFB S1 (1.2526) in the European session, after plunging 100 pips overnight. Against the pound, the euro traded flat