IHS Markit Manufacturing PMI data (purchasing managers’ index) for the UK and the Eurozone for June are due this morning. Stocks are higher ahead of the numbers. Meanwhile shares in Asia pulled back after latest manufacturing PMI data from China slowed to 51.3 in June, below estimates of 51.8 and a three month low.
Today also sees the latest weekly US jobless claims data ahead of tomorrow’s key jobs report where the general forecast is for 683,000 new jobs added in June.
A week ago the Bank of England’s Monetary Policy Committee echoed the US Fed’s official stance on inflation, describing the recent rise as “transitory” and said they expect inflation “to go above 3%” for a temporary period. However, the BoE’s chief economist, Andy Haldane, gave a warning on Thursday saying “by the end of this year, I expect UK inflation to be nearer 4% than 3%.” He joins the growing number calling for more immediate action from central banks to take action sooner rather than later to reduce inflationary pressures.
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