An ease in today’s services PMI data in the UK has weakened hopes that overall activity in Britain’s private sector remained firm last month. This follows upbeat manufacturing and construction PMI readings in the nation earlier this week. Today’s less than anticipated reading has raised doubts among market participants about the strength of Britain’s economic growth for the first quarter of 2015. In the Euro zone, today’s retail sales data will be eyed for any upside surprise, especially considering yesterday’s robust German retail sales numbers.Across the Atlantic, today’s ISM non-manufacturing PMI report coupled with the ADP’s private sector employment gauge will keep investors interested in the latter half of the trading session.
In line with yesterday’s upbeat manufacturing PMI reading in the UK, today’s report has shown that construction PMI in the nation improved unexpectedly for February. Going forward, tomorrow’s services PMI data will be noted to gauge the overall performance of Britain’s private sector activity, especially considering the dominant role of the services sector in the nation’s economy.Across the Atlantic, yesterday’s ISM print showed that manufacturing activity in the US expanded at a slower pace than anticipated for February and continued on its decelerating trend for a fourth straight month. In the Euro zone, after yesterday’s better than expected preliminary consumer price inflation reading, today’s upbeat German retail sales numbers have temporarily eased concerns about the region’s economy.
Today’s data has shown that manufacturing PMI in the UK moved further into expansion, easing concerns over weak inflation. Additionally, data revealed that consumers in Britain took more credit and UK banks approved more mortgages for January, offering evidence of improving appetite among domestic consumers, especially with growth in wage earnings remaining robust.Across the Atlantic, the ISM manufacturing PMI report for February will attract considerable attention among investors in the latter half of today’s trading session. In the Euro zone, market participants will keep tabs on today’s preliminary consumer price inflation data for February, particularly after German inflation numbers surpassed market expectations last week.