- Markit
The US manufacturing activity rose slightly in March, underscoring concerns that have been surrounding America's manufacturing sector, hit by a stronger US Dollar and signs of global slowdown, for some time already. Markit's flash manufacturing PMI ticked up to 51.4 in the reported month, up from the final February print of 51.3, but below economists' expectation for the preliminary reading to come in at 51.9. Manufacturers have been struggling with weakening global demand, exacerbated by a strong US Dollar, which hurts domestic producers' competitiveness abroad, coupled with the rout in energy prices that has resulted in decreased spending budgets across the oil patch. While new business volumes increased in March, the latest rise was only slightly quicker than in February and still weaker than the post-crisis trend.
The report earlier in the week showed sales of previously owned US homes declined more than expected in February after hitting the second highest level since 2007, a sign that demand for housing could be weakening due to increasing prices and low inventory. The National Association of Realtors reported that existing home sales plunged 7.1% in February from the preceding month to an annual rate of 5.08 million units, the lowest level since November.
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