X
<

What Key August Indicators Said about Global Economy

PART:
1 2 3 4 5 6 7 8 9 10 11 12 13
Part 6
What Key August Indicators Said about Global Economy PART 6 OF 13

Eurozone’s Manufacturing PMI Indicates Healthier Economy

Eurozone manufacturing PMI in August

According to a report by Markit Economics, the final Eurozone manufacturing PMI (purchasing managers’ index) improved in August 2017. It stood at 57.4 in August as compared to 56.6 in July. It beat the market expectations of 57.4. Some member countries of the Eurozone such as France (EWQ) and Germany (EWG) saw stronger manufacturing activity in August 2017.

Eurozone’s Manufacturing PMI Indicates Healthier Economy

Interested in VGK? Don't miss the next report.

Receive e-mail alerts for new research on VGK

Success! You are now receiving e-mail alerts for new research. A temporary password for your new Market Realist account has been sent to your e-mail address.

Success! has been added to your Ticker Alerts.

Success! has been added to your Ticker Alerts. Subscriptions can be managed in your user profile.

The strong performance in the Eurozone manufacturing PMI in August was mainly due to the following:

  • Production volume and output rose at a faster pace in August 2017.
  • New business orders and export orders grew at a stronger pace in August 2017.
  • Employment growth also rose at a faster pace during the month.

Impact on the economy

The improvement in manufacturing activity in the Eurozone is signaling that the Eurozone economy is gradually improving. The overall business climate is changing, which is improving the demand outlook for various companies. If this trend continues, we could see a huge opportunity for European equities.

The iShares MSCI Eurozone ETF (EZU) and the Vanguard FTSE Europe ETF (VGK), which tracks the performance of the Eurozone (HEDJ) (FEZ) (IEV), rose marginally in August 2017.

In the next part of this series, we’ll look at the performance of Japan’s manufacturing PMI in August 2017.

X

Please select a profession that best describes you: