European shares showed modest increases are confirmed although the activity of the euro area business was the worst in over a year . The final composite index of purchasing managers by Markit is in fact dropped to 53 last month from 53.6 in January, the lowest reading since the beginning of 2015. The figure today is still higher than the preliminary 52, 7 and remains above the 50 that separates growth from contraction.
the sub-index for output prices fell to 48.5 from 48.9 and the PMI index for the services threshold it is brought to the minimum of the last thirteen months to 53.3 from 53.6 in January but above the flash estimate of 53. “the slowdown in activity growth, accompanied by a similar slowdown in the rate of creation of jobs and the largest decline of prices in a year indicate that the recovery is losing momentum in the region, “said Markit’s chief economist, Chris Williamson.
“The disappointment on several fronts increases the chances that the European Central Bank to act aggressively to avoid another recession,” he added. In fact by today’s Eurozone PMI it showed that The growth of the German private sector lost momentum in February . The composite PMI index of manufacturing and services summary, fell to 54.1 (53.8 flash estimate) from 54.5 in January. This is the weakest reading since last September. While the services PMI index showed a better growth than initially estimated at 55.3 (55.1 flash reading), showing a slight acceleration from January, when it stood at 55.
‘weakest link remains France whose activity in the services sector weakened in February more than expected and the private sector shrank for the first time in over a year . The index of Markit services PMI fell to 49.2 from 50.3 in January, compared to the preliminary reading at 49.8 and below 50. The overall PMI index, which includes the services sectors and manufactory, has increased to 49.3 from 50.2 the previous month and 49.8 of the preliminary data. Markit found that hotels and restaurants have been particularly weak. This suggests a negative impact linked to the attacks of 13 November 2015.
And if in Spain in February of the services sector grew at slower rate for 15 months , to 54, 1 from 54.6 in January, compared with 54 expected by economists, in Italy, the services sector grew for the twelfth consecutive month , a step slightly more strongly than in January. The services PMI index actually increased surprise to 53.8 points in February from 53.6 the previous month. Economists’ forecasts indicated a drop to 53.1 share. The indicator composite PMI stood at 53.7 points, just below the 53.8 in January.
After this data to Piazza business the Ftse Mib 0.39% rises to 18,277 points, in line with the Dax (+ 0.11%), the Ibex (+ 0.24%) and the Ftse 100 (+ 0.35%). only the CAC40 down (-0.13%). Minimum oscillation of the euro / dollar rate, now at 1,088, while awaiting the verdicts of incoming central banks in the coming days. The first to speak will be precisely the European Central Bank in the next meeting on Thursday should give birth new expansionary measures to counter deflation and a recovery in trouble.
The yield spread between BTPs and Bund 10 years amounted to 124 basis points, as yesterday’s closing. The reference of the Italian year yield is 1.43% leads dall’1,44% of yesterday’s close, when it had fallen to 1.39%, the lowest since April.
This morning Europe has weighed on the secondary emission of almost 14 billion in the medium to long term by Madrid and Paris paper . In particular, some traders have pointed out, the Spanish bid has put some ‘pressure on BTP. Tomorrow to take action on the primary will be the Italian Treasury announced a bond conversion transaction, offering up to 2 billion in September 2028 BTP, coupon 4.75%, in exchange for the withdrawal of five of BTP and CCTeu with maturities in 2017 and 2018.
No comments:
Post a Comment