The DXY index is trading near 107, just below its yearly high of 107.15 on Thursday.
US Jobless Claims from last week was a strong data point that fueled speculation for a slower pace of Fed rate cuts.
Today, US PMI will come out at 2:45 pm GMT followed by University of Michigan Sentiment at 3:00 pm GMT.
EURUSD is trading at yearly lows below 1.05, the lowest since October 2023, mainly due to continual US dollar strength.
Today on the docket is HCOB PMI data from France, Germany, and the wider Eurozone.
French data has come out, with services, manufacturing, and composite PMI all printing below expectations and significantly under the key 50 data point.
France Services was 45.7, compared to 48.3 expected and 48.1 prior. Manufacturing was 43.2, compared to 44.5 expected and 44.5 prior. Composite was 44.8, compared to 48.3 expected and 48.1 prior.
Germany PMI data reveals a surprise contraction for the services sector, the lowest reading since February. Although manufacturing PMI was slightly higher, all figures are still in contractionary territory.
With weak France and Germany readings, markets have increased bets on ECB interest-rate cuts in the coming months.
Eurozone PMI will come out later at 9:00am GMT.
GBPUSD extends its losses and falls to six-month lows below 1.26. Strong US data releases and Fedspeak have pushed the pair towards those levels.
UK Retail data came out this morning, with MoM data lowering to -0.7%, coming below -0.3% expectations. This led to a brief dip to 1.2550 before recovering to 1.2570 levels.
UK PMI data will come out today at 9:30am, with expectations largely in line with previous figures.
EURGBP has strengthened to 0.8330, up 0.17% due to weak UK Retail Sales data.
