From the data to be released from euro zone members for the final manufacturing data for the month of May, European shares are predicted to open in a negative territory.
Shares in Europe are predicted at a low and negative rate while investors look forward to the activity reports from some of the largest companies in euro zone.
Futures for the Germany’s DAX dropped from 0.76% to 8,303.00, while pan- European Euro Stoxx 50 slid 0.81% to 2,751.50, the French CAC 40 futures slid 0.55% lower at 3,919.30 and the UK FTSE 100 futures edged 0.70% to 6,527, all as of 6:06am GMT.
The PMI’s are likely to approximately settle at the same level as the preliminary reports previously recorded last week, which indicated France and Germany economies, are still stuck within contraction territory.
Germany’s final manufacturing PMI is expected to stand at 49.0 points in the month of May ,while in France , the manufacturing PMI is expected to progress to 45.5 in May , from 44.4 in the month of April .
The final manufacturing activity for the euro zone is expected to show a development of progress from 46.7 to 47.8 in May.
Markit Economics are expected to release the final report for the manufacturing Purchasing Managers’ Indices (PMI) data for the month of May for countries in the euro zone.
According to the European Central Bank (ECB) President Mario Draghi, the monetary union was stable than before and a possibility of a breakup of euro zone coming ahead.
“The economic situation in the euro area remains challenging but there are a few signs of a possible stabilization, and our baseline scenario continues to be one of a very gradual recovery starting in the latter part of this year,” he said in a speech in Shanghai on Sunday.
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