Yesterday's session brought UK Services PMI data. UK service sector growth remained sluggish in March, according to the latest PMI survey data from Markit and CIPS. Total activity increased at a slightly faster rate than in February, but on a quarterly basis growth over the first three months of 2016 was the weakest since Q1 2013. Moreover, incoming new business increased at the slowest rate since January 2013. The Business Activity Index rose to 53.7 in March, from February’s 35-month low of 52.7. This signalled a faster rate of growth in output, but the second-weakest in six months.
In the US session
Trade Balance, Non-Manufacturing PMI and
JOLTS Job Openings figures were published. The U.S. Census Bureau and the U.S. Bureau of Economic Analysis, through the Department of Commerce, announced that
the goods and services deficit was $47.1 billion in February, up $1.2 billion from $45.9 billion in January, revised. February exports were $178.1 billion, $1.8 billion more than January exports. February imports were $225.1 billion, $3.0 billion more than January imports.
The Non-Manufacturing PMI registered 54.5 percent in March, 1.1 percentage points higher than the February reading of 53.4 percent. Smaller increase to 54.5 was expected. This represents continued growth in the non-manufacturing sector at a slightly faster rate. The majority of respondents’ comments indicate that business conditions are mostly positive and that the economy is stable and will continue on a course of slow, steady growth.
Job openings were little changed at 5.4 million in February. The job openings rate was 3.7%. The number of job openings was little changed in February for total private and for government. Job openings increased in educational services (+48,000) and federal government (+19,000) but decreased in health care and social assistance (-147,000), finance and insurance (-54,000), and mining and logging (-8,000). Job openings edged up in construction (+36,000) and edged down in durable goods manufacturing (-19,000).
There will be no major data releases both from the UK and USA tomorrow, so we can expect a bit steadier session.
