The United States, Australia, Britain and the euro area will kick off global June flash purchasing managers’ index (PMI) readings.
The forward-looking economic indicator should confirm a solid outlook for manufacturing, but also divergences opening up.
A swift roll-out of COVID-19 vaccines, economies reopening from lockdowns and hefty stimulus mean PMIs in major economies should remain comfortably above the 50-mark dividing expansion from contraction. The May euro zone composite PMI hit its highest level since February 2018.
In contrast, India and Brazil have found it hard to contain the coronavirus; Thailand is grappling with its third and worst wave. This could weigh on business activity in emerging markets again — adding to pressure on wealthy nations to help vaccinate the world and close disparities.