The market will analyze a series preliminary PMI indices from the IHS Markit Institute, which track the expectations of purchasing managers in the manufacturing and services sectors, in July. ” In a month, the reasons for concern have not diminishednotes the research office Oddo BHF. The context of high inflation weighs on demand », and should bring down the PMI indices in all countries, even if they will remain in expansion territory, at more than 50 points.
The risks of gas cuts worry European purchasing managers
France will get the ball rolling at 9:15 a.m. with PMI indices expected to fall, to 51 in the manufacturing sector and 52.8 in services in July, compared to 51.4 and 53.9 respectively last month. The situation seems even worse in Germany, where the manufacturing PMI is expected at 50.9 (52 in June), and that of services at 51.4 (52.4). In the euro zone, the European composite PMI, which had held up well until then, ended up faltering to 52 points in June and is expected to drop another 1 point in July. The index is expected at 51 points in the manufacturing sector and 52 in services in July, against 52.1 and 53 respectively the previous month.
Across the Atlantic, where the economy is undergoing rapid monetary tightening, the PMI S&P manufacturing and services indices, which both stood at 52.7 in June, could fall back in July to 52 and 52.5 respectively. In the United Kingdom, a country with 9.4% inflation, the PMI should follow the same downward trend, to 52 in July (52.8 in June) in the manufacturing sector and to 53.1 (54.3) in Services.
Market-tested quarterly Twitter
The takeover of the social network envisaged by Elon Musk has kept investors in suspense in recent months. But tomorrow, it will indeed be the results of the second quarter of Twitter, unveiled before the opening of Wall Street, which will remain the center of attention. The platform should see its turnover increase by 10.8%, to 1.3 billion euros, at the end of June. The Bloomberg consensus anticipates a net result in positive territory, at more than 100 million euros this quarter, even if the final figures have often thwarted forecasts, for good or bad. Advertising revenues will be an important point of vigilance, while the economic slowdown raises fears of a decline in demand in this segment. In the wake of Twitter, American Express and Schlumberger will unveil their quarterly accounts. On the French securities side, Lisi and Pixium Vision will communicate their results for the first half, while Nakon and E-Pango will hold their general meetings.