The US dollar continues to exert pressure on the euro. Investors will hardly buy risk assets, including the euro, amid the threat of a default in the United States. Negotiations over a rise of the US debt ceiling have not borne fruit yet. Meanwhile, Europe has disclosed the business activity data today. The figures have disappointed buyers and encouraged sellers of the single currency.Economists had expected that the preliminary estimates would show a rise in all the indicators of business activity. In fact, the manufacturing PMI slid to 44.6 points instead of rising to 47.0 points from 45.8 points.Notably, the manufacturing PMI is less significant compared to the services PMI, which dropped to 55.9 points from 56.2 points. Analysts had anticipated a rise to 56.7 points.As a result, the composite PMI that should have increased to 54.8 points from 54.1 points, decreased to 53.3 points. In this light, the euro lost in value.Although the same data in the UK was published 30 minutes later, the pound sterling showed even a faster decline. The fact is that in the United Kingdom, forecasts were initially worse than in the eurozone. In particular, business activity in the services sector should have decreased to 55.3 points from 55.9 points. However, like in Europe, the data was below the forecast. Thus, the indicator slid to 55.1 points.The manufacturing PMI was expected to remain unchanged. Some analysts even foresaw a rise to 48.0 points from 47.8 points. However, the index slumped to 46.9 points.There is no wonder that the composite PMI dropped to 53.9 points from 54.9 points instead of inching down to 54.7 points. Against the backdrop, the pound sterling started falling even faster.Nevertheless, both the euro and the British pound have a chance to recoup losses or even climb above the levels recorded at the beginning of the day. The fact is that forecasts for business activity in the US are worse than in the United Kingdom. Judging by the data issued in the eurozone, the US may report even a deeper decline in all the indices.On the trading chart, we see that the euro/dollar pair opened a new trading week with stable hovering within the range of 1.0795/1.0830. Such a price movement may point to the accumulation process. The stagnation has already encouraged bears. However, a real signal of a rise in the volume of short positions will appear only after the price stays below 1.0800 for a long time. Until then, there is a risk of a rise. Meanwhile, the pound sterling is also under the pressure exerted by the US dollar. Just after the price touched the level of 1.2480, the volume of long positions dropped and the pair started falling. The correctional movement from the peak of the mid-term uptrend is still in force. This is proved by the resumption of the downward movement after the recent rebound. If the price settles below 1.2390, the pair is likely to slide deeper. Until then, the bearish sentiment in the market may spur stagnation within the range formed by the recent rebound.

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00:00 INTRO
00:32 EUROZONE PMI
01:20 UK PMI
02:27 QUOTES
02:53 EUR | USD
03:26 GBP | USD