Europe Looks To Mixed Start Despite Encouraging Chinese Manufacturing Data
Fiona Cincotta August 3, 2020 2:42 AM
Manufacturing PMI's in focus after Chinese activity jumps by most in a decade
European bourses look set to open at the start of the new month in a mixed fashion amid rising coronavirus concerns, simmering US – China tensions and ahead of the manufacturing PMI data.
Chinese manufacturing PMI data is bringing some optimism to the table, pointing to the economic recovery gaining momentum. The Caixin /Markit Manufacturing PMI showed that China’s factory activity expanded at the fastest pace in nearly a decade in July as domestic demand continued to improve after the coronavirus crisis. However, employment and export orders remained weak, with export orders falling for a 7th straight month as overseas demand is yet to pick up.
Not just Tik Tok
Rising US – China tensions are posing another threat to sentiment after President Trump hinted to a widening of measures against Chinese owned software which is deemed to pose a threat to national security. So far Tik Tok is in the firing line, however recent comments from the White House suggest an expansion in targets beyond the video sharing app; a move which will continue to stir tensions between the world’s two largest economies.
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.