Yesterday was a trade balance day; the US trade balance deficit shrank while the Canadian trade balance became negative for the first time since December. Funnilyy enough, the improvement in the US trade has widened the Canadian trade deficit.

Today though is a services day/morning. We had the European services PMI reports published a while ago, while the US ISM non-manufacturing PMI will find us later this afternoon.

The European services data missed expectations. The French, German and the Eurozone services numbers also missed expectations but they still show that these sectors remain pretty upbeat, since they came above 55 PM;I points, which shows a decent expansion.

The Italian services data wasn´t so upbeat though. It failed to meet expectations as well though it dived to only 53 PMI points. This still is a healthy level of expansion though no one likes a miss.

The Eurozone inflation report failed to meet expectations a few days ago which is the first time it has done so in quite a while. We must keep an eye on the other economic data coming in from the EU in the next few days/weeks to see if this is just a small hiccup.

The Euro remains unfazed, despite a small wobble after the release. We have a sell forex signal here which we opened last night, so we´re all for the downside.