Conflicting signals on the health of the global economy and the banking sector left US and European equities lower yesterday but failed to enhance the safety appeal of the dollar, the yen or government bonds.
The latest figures on eurozone manufacturing and service-sector activity beat expectations and provided an early boost to investor risk appetite as they helped offset the International Monetary Fund's cut to its growth forecast for the region.
“The first signs of improvement in the eurozone business cycle are starting to emerge,” said Marco Valli, economist at UniCredit.
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