Euro Falls Below $1.4 After Lower Manufacturing PMI

A difficult day for the euro continues as EU's manufacturing purchasing manager index (PMI) fails to meet analysts' expectations. The euro has already been hit by the defeat of Spain's ruling party in the local and regional elections and S&P's reduction of Italy's credit outlook, when EU manufacturing PMI fell from 58 in April to 54.8 in May. Most analysts expected the index to be 57.5. As a result, the euro fell below the $1.4 against the greenback. At the moment, the euro is trading at 1.3980 to the U.S. dollar, or 1.261% below previous close. The Japanese yen surged against the euro as well. The euro is trading at 113.96 against the Japanese currency, or 1.466% below previous close. Traders who believe the Euro will continue to be hit by weak economic data will be interested in the Short Euro Long US Dollar ETC (Sterling) ETF (SEUP) or the ProShares UltraShort Euro ETF EUO.