German and French Flash Manufacturing PMI will be released today at 0700 GMT. Now, what result we can expect from these indices.
In last release of German PMI it was observed that new orders and export orders grew with low pace. Its impact was also seen on ZEW economic sentiments which fell by 3.4 percentage points to 43.2. Ukraine crisis also played its role in this weak economic sentiment.
Earlier in this month Germany Factory orders had shown improvement to 0.6% from earlier 0.1%. New orders, employment and production advanced in February and we may see further improvement in this month. German Industrial Production has also increased by 0.4%. Overall the German economy is growing with moderate pace. We are expecting Manufacturing PMI to come around 53.8.
French economy has also shown good performance this month. French Industrial Production has improved by 0.1%. Manufacturing output has remained stable in last quarter. In last release new orders and production had shown drastic improvement. We may see manufacturing index showing expansion near to previous level of 51.8.
Euro may get support with the positive reading and trade near to 1.3850. Industrial metals may also get support after weakening on contraction in China Flash Manufacturing PMI.