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 41.7, showing the industry has contracted during the last sixth months, while the manufacturing index came at 32.4, slightly better than 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 is trading under the neutral pivot point (1.3615), after it plunged 50 pips overnight.