Spain’s manufacturing PMI
According to a report by Markit Economics, the final Spain manufacturing PMI stood at 54 in July 2017 as compared to 54.7 in June. The PMI figure didn’t meet the preliminary market estimate of 54.5. This month’s level was the lowest since April 2017.
The softer performance in Spain’s manufacturing PMI was mainly due to the following:
- Production volume and output slowed down in July 2017.
- New business orders also showed softer improvement in July 2017.
However, export orders and employment rose at a stronger pace in July 2017.
Performance of various ETFs in July
The iShares MSCI Spain Capped ETF (EWP), which tracks Spain’s performance, rose nearly 4% in July 2017. The Vanguard FTSE Europe ETF (VGK), which tracks Europe’s (HEDJ) (EZU) (IEV) economic performance, rose 2.8% in July 2017.
Spain is one of the key economies of the Eurozone along with Germany (EWG) and France (EWQ). All these economies contributed heavily to the overall economic improvement in the Eurozone. The rising consumer spending and business climate are helping the economy to recover from a massive slowdown in past years.
In the next part of this series, we’ll analyze the manufacturing PMI for the Eurozone in July 2017.