European Major Currencies Stay Unstable

Weaker than expected UK production data put pressure on the pound. The euro remains under pressure of political tension in Spain. Meanwhile, commodity currencies are trading generally higher, recovering some of the losses that were observed last week.

The UK PMI manufacturing fell to 55.9 in September from 56.7 in August. Economists had expected that the index would be 56.4 in September. The pound continued its decline after release of these data.

The large manufacturers index of Japan Tankan jumped to 22 in the third quarter, compared with the forecast of 18. This is also the highest figure for the decade since 2007.