Spain’s services sector, about 50% of the country’s GDP, was boosted in September thanks to new business at the fastest rate in more than two years, according to Markit’s Purchasing Managers’ Index (PMI).
José Luis M. Campuzano (Spanish Banking Association) | The key to monetary normalisation for many people is the moderate evolution of inflation. That said, it’s also important monetary policy adapts to the potential impact of technology developments on inflation.
Suprising as it may be, 18 of the 19 members of the Eurozone saw an increase in GDP in Q1’17 with respect to Q4’16. Spain’s GDP improved by 0.6%; Italy managed to grow (0.2%); Germany and France clocked up a 0.4% rise. Only Greece remained in the red. The unemployment rate in the region has officially fallen to 9.6%…there is growth.
Operating conditions continued to improve in August, according to the latest Markit PMI survey. Output grew to a 3-month high, yet new orders rose at levels of 2013.
The adjustment is serious and is a reaction to the eruption of China’s triple bubble: credit, real estate and stock markets.
Flash manufacturing PMI for August and IMF decision bring more negative news for China.
HONG KONG | July 24, 2015 | Barclays | The Markit “flash” manufacturing PMI unexpectedly fell to 48.2 in July, reaching a 15-month low (consensus: 49.7; Barclays: 49.7). The weaker PMI supports our view that the economy is not on solid footing, and we look for a flat growth profile in H2.
The Corner | July 1, 2015 | Spanish manufacturing PMI, one indicator of the economic pace of a country, posted 54.5 in June, down slightly from 55.8 in May. However, operating conditions have now strengthened in each of the past 19 months, according to Markit analysts. Manufacturers reported having hired extra staff to meet higher production requirements and prospects of future growth.
The Corner | June 1, 2015 | Italian risk premium (136.5 bp) should probably come down and be lower than the Spanish one (135 bp) this week despite PM Matteo Renzi’s set back in the country’s regional elections on Sunday, experts at Bankinter commented. (Chart above: Italy Generic Govt 10Y Yield by Bloomberg.)