EURGBP, H4
Eurozone Composite PMI revised lower. However, it is still at a 10-month high. The S&P Global Composite Output Index was revised down to 53.7 From 54.1This was still significantly better than the 52.0 In February, the services index reached a 10-month peak. The services index was revised downward to 55.0 From 55.6The, which was also at a 10-month peak, is also at a high. The Manufacturing PMI remains stuck in contraction territory, but the manufacturing output index has improved and this morning’s surprisingly strong German Number of factory orders (+4.8% vs. 0.2% Expected and 0.5% last month) These are all signs that the sector has begun to recover. Spain And Italy They are the ones leading the recovery of services, reflecting the rebound in tourism activity after the removal of all virus restrictions. The demand continues to rise, which is giving companies more opportunity to pass on the sharp increase in cost pressures. However, for central banks it raises concerns that domestic price pressures will continue to rise. The outlook for companies remains positive. These data will strengthen the argument for rate increases. The following are the ECBDespite headline inflation cooling because of lower energy prices and base effects, this is still a significant increase in inflation.
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