EUR flows: EUR slightly firmer after mixed PMIs

Mixed PMI data from Europe, with strong numbers from France and weak numbers from Germany, particularly on manufacturing. EUR gained strongly on the French data but fell back on the German numbers, and is now only slightly higher. EUR yields have held some gains, as the net impact on Eurozone composite PMI is likely to be positive, with the French data showing a bigger rise relative to consensus than the German decline. But it’s hard to make a strong case for EUR gains based on these numbers, as the EUR PMI has been underperforming those elsewhere in recent months. 1.09 still looks likely to be a bridge too far for EUR/USD near term.