SHANGHAI, Jul. 5 (SMM) – Eurozone retail sales and US factory and durable goods orders in May will be released today. Base metals should diverge today.
Should Caixin’s service PMI in May weaken, market expectations that Chinese economy will slide further will grow, and will in turn weigh down base metals.
Eurozone retail sales in May will likely improve, as Germany’s monthly and annualized retail sales in May topped market expectations and April’s. Inflation rate in the eurozone rose for two months in a row, also meaning a turnaround in eurozone economy.
US factory orders in May is expected to weaken. US manufacturing PMI in May was unexpectedly revised upwardly, but still a 6.5-year low. New order index also slowed to the lowest since December last year, boding ill for US factory orders in May.
