Business expectations in Germany slightly recovered after April

Global markets were influenced by Eurozone PMI data for May, which showed flash Manufacturing PMI Index at 49.4 (expected 49.2). Sentiment in services was weaker, however, at 48.9 (expected 50.5), bringing the Composite PMI Index down to 49.5. In Germany, Composite PMI Index showed weakening of the sentiment as well. While the Manufacturing PMI increased to 48.8, the sentiment in the service sector deteriorated. In Germany, the Manufacturing PMI has been increasing slowly but surely over last year. What is important, businesses expectations towards output in the next 12 months recovered somewhat in May, after having slumped to a six-month low in April amid widespread tariff-related concerns and uncertainty according to the statement. On the top of that, the other barometer of German economy, the ifo Index, also showed improvement of expectations (ifo Expectations up to 88.9 in May) pushing the overall index up as well to 87.5. Finally, the U.S. PMI figures for May were stronger than anticipated, with manufacturing at 52.3 (expected 49.9) and services at 52.3 (expected 51.0).