Gold and silver also climb as US cities rocked by protests over killing of George Floyd
The final reading for Spain’s manufacturing PMI for May is out. At 38.3, it’s slightly better than previously thought, but still indicates a sharp contraction, being far below the 50 mark that separates contraction from expansion.
Paul Smith, economics director at IHS Markit, which compiled the survey, said:
Spain’s manufacturing sector remained mired in a deep downturn during May as the difficulties related to the COVID-19 pandemic continued to weigh on goods producers.
Whilst there were reports of factories coming back online in response to the slight easing of lockdown restrictions, low demand, constraints on economic activity and difficulties in sourcing inputs inevitably weighed on production.
Stock markets are rallying, as Covid-19 lockdown restrictions are eased further and traders shrug off the rioting in the US. The FTSE 100 index in London is trading 1.4% higher at 6,162. France’s CAC 40 is 1.7% ahead, Italy’s FTSE MiB is up 1.4% and Spain’s Ibex opened 2% higher. Germany is closed for the Whitsun holiday.
In the UK, English primary schools have reopened for some younger children for the first time since the lockdown began 10 weeks ago, although many parents planned to keep their children at home. Car showrooms and outdoor markets are also allowed to open again from today, and up to six people can meet outside in England, at a 2m distance.