European PMIs Disappoint, EUR/USD Drops for Third Day

The Purchasing Managers’ Indexes for European countries and the whole eurozone released today were disappointing for the most part. (Event A on the chart.) This allowed the dollar to gain on the euro even though the employment and housing data from the United States also missed expectations.
Initial jobless claims rose to 326k last week from the previous week’s revised level of 298k. The increase was bigger than the expected rise to 312k.
Existing home sales rose to the seasonally adjusted annual rate of 4.65 million in April from 4.59 million in March, but were still below the forecast of 4.71 million. (Event B on the chart.)
Leading indicators rose 0.4% in April from March, matching market expectations exactly. The March increase was revised from 0.8% to 1.0%. (Event B on the chart.)

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