The Euro area composite PMI rose to 54.0 from 53.1, making it unlikely that the ECB will move against deflation in May
The Chinese HSBC/Markit flash manufacturing PMI was up to 48.3 from 48.0. However, this still shows contracting manufacturing and means China is still rebalancing
Yesterday on Boom Bust, the finance show I produce, Marshall Auerback gave a good overview of what is going on in Europe and what the policy options are. His verdict is that eurozone breakup is off the table for now and Europe is on the mend. But these are cyclical factors that belie a still weak institutional framework for the eurozone. Video below
This cyclical rally is powerful though. The composite PMI was the best in the Euro area since May 2011 and was above expectations as the market expected a drop...
As this site is now reader-supported via Patreon, the remainder of this article is only available to subscribers at a specific patronage level. Articles at patronage levels BRONZE, SILVER, and GOLD are denoted by the categories in blue capital letters above the post. Posts categorized DAILY are available to both SILVER and GOLD patrons.
Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty five years of business experience. He has also been a regular economic and financial commentator in print and on television for the past decade. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College.