The France HCOB Services PMI for September is at 48.5, falling short of the expected 48.9. This number is important for understanding activity in the country’s services sector. The Institute for Supply Management will release its September Services PMI report soon. Typically, this report receives less attention when paired with the US Nonfarm Payrolls data, but this month, both pieces of information are expected to be significant on their own.

Currencies And Market Movements

Currency movements are mixed: USD/CAD is strong near 1.3970, GBP is slightly up, while the JPY is underperforming among G10 currencies. EUR/USD is stable as the US dollar weakens in anticipation of the services data. There are helpful guides and reviews available for top brokers specializing in various regions and needs. These guides evaluate spreads, leverage, and regulated brokers, helping traders make better choices. FXStreet offers valuable insights about financial instruments and markets. They emphasize that their content is not investment advice and warn about the risks involved in open market investments. Readers should do thorough research before making financial decisions.

Key Upcoming PMI Report

The US ISM Services PMI report coming out on Friday, October 3, 2025, is the main focus for the market. Unlike most months, this release won’t be overshadowed by the jobs report, which means we can expect a stronger market reaction. This number will likely influence currency and index trends for the next few weeks. With France’s services sector showing a contraction at 48.5, we are alert to the possibility of a broader slowdown. The US ISM Services PMI has been declining from the mid-50s earlier this year, and the August 2025 reading was just above expansion at 50.5. A drop below the crucial 50.0 level would indicate a contraction in the US services sector for the first time since 2022, raising pressure on the Federal Reserve to consider rate cuts. This uncertainty is increasing implied volatility, which is an opportunity for options traders. The VIX index has risen from about 13 to over 15 this week, indicating that the market anticipates a significant move. Strategies like buying straddles on the S&P 500 (SPX) may be effective, as they profit from large price swings in either direction after the announcement. The US dollar has been weakening ahead of the new data, and a poor PMI reading may worsen this trend. Therefore, we are positioning for potential dollar weakness by exploring call options on pairs like EUR/USD, targeting strike prices near 1.1800. We recall how a surprisingly weak PMI report in June 2024 led to a quick two-day rally in the euro against the dollar. Gold is also in a good position to gain from a potential economic slowdown and expectations of Fed rate cuts. The precious metal has already begun to rise as traders anticipate a more dovish policy. We plan to buy call options on gold futures to get leveraged exposure to this trend while managing our risk. Create your live VT Markets account and start trading now.

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