STOCK MARKET WATCH -- Friday, 1 August 2014

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4. The Pace Of Manufacturing In Europe Is Sitting At A 7-Month Low

http://www.businessinsider.com/europe-pmi-july-2014-2014-8

Europe just unloaded a slew of manufacturing purchasing managers index (PMI) data.
These are the numbers derived from surveys of businesses. Anything above 50 signals growth, and anything below signals contraction.

"July saw the Eurozone Manufacturing PMI hold steady at June's seven-month low of 51.8, as the ongoing expansions in Germany and outside of the big-two economies were partly offset by a deeper downturn in French manufacturers."

Here's a quick summary of what we learned in July:

UK (55.4 in July, down from the flash estimate of 57.2): "The UK manufacturing sector started the third quarter on a firm footing," said Markit's Rob Dobson. "Although cooling in July, growth rates for production and new orders remain well above their long-run trends, supporting continued solid job creation in the sector."

Eurozone (51.8 in July, down from 51.9): "Output and orders are growing at lacklustre rates compared to earlier in the year, meaning firms remain reluctant to take on more staff," said Markit's Chris Williamson. "The weakness of demand in turn meant companies were generally unable to raise prices for their goods without fear of losing sales... The ECB will be eager to see the impact of the policy measures announced in June, though these are clearly going to take some time to filter through to the real economy."



Read more: http://www.businessinsider.com/europe-pmi-july-2014-2014-8#ixzz398ODud9r