News Bites
PMI's cannot do enough to lift sentiment ahead of the U.S. open
(Kitco News) - With the exception of Australia the services PMI numbers have beaten expectations on a global scale. The results come ahead of the U.S. numbers later in the session which is also expected to build on the previous numbers. The last figure came in at 56.5 and the economist prediction this time round currently stand at 58.9. The ISM Non-Manufacturing PMI for March is expected to reach 58.4 (previous 56.5).
The U.K. report said “UK economic growth continued to surge higher in March after an Omicron-induced slowdown at the turn of the year. Service sector companies led the way as business activity expanded at the fastest pace since the post-lockdown recovery seen last May. There were widespread reports citing a boost to business and consumer spending from the roll back of pandemic restrictions. Survey respondents commented on stronger demand arising from the return to offices, alongside a resurgence in the travel, leisure and entertainment sectors."
Phil Smith, Economics Associate Director at S&P Global "With manufacturing production coming under pressure from the fresh supply constraints that have resulted from Russia's invasion of Ukraine, the service sector provided a key support to overall economic activity in March,"
Global risk sentiment is pretty negative today in Europe. The FTSE 100 is down 0.20% and the German DAX is currently 0.62% in the red. Gold is also subdued but holding within its current range $1937/oz and $1915/oz.
Australian Services PMI 55.6 vs exp 57.9 57.4
German Services PMI (Mar) 56.1 vs exp 55.0 55.8
U.K. Services PMI (Mar) 62.6 vs exp 61.0 60.5
EU Services PMI (Mar) 55.6 vs exp 54.8 55.5
