What May’s Service PMI Data Signals for Developed Markets



Key economic indicators

The following developed market indicators were released last week:

  • the US service PMI
  • Spain’s service PMI
  • Japan’s service PMI
  • the UK service PMI
  • Germany’s service PMI
  • France’s service PMI
  • the Eurozone’s service PMI
  • the Eurozone Sentix investor confidence index

Series overview

Previously, we’ve seen that manufacturing activity for major developed areas, including the United States (SPY), Germany, Spain, and Europe, improved slightly in May, while UK manufacturing activity improved strongly. Political uncertainty in the Eurozone affected manufacturing activity there significantly.

In this series, we’ll analyze US, German, UK, French, Japanese, Eurozone, and Spanish service activity in May, as well as the Eurozone Sentix investor confidence index. The SPDR S&P 500 ETF (SPY), the iShares MSCI United Kingdom (EWU), and the iShares MSCI Japan ETF (EWJ), which track the S&P 500, the UK economy, and Japan’s equity market, respectively, returned 2.1%, -0.6%, and -1.4% in May. In the next part of this series, we’ll analyze the US service PMI’s performance last month.

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