Mondays US financial reports offered a nuanced yet generally positive perspective. Marchs SP US Manufacturing PMI settled at 51.9, a slight dip from Februarys 52.2. In contrast, the ISM Manufacturing PMI rose from 47.8 to 50.3 over the same period. Noteworthy advancements included new orders, which surged to 51.4 from 49.2, and an uptick in the employment index to 47.4, up from Februarys 45.9.

These figures indicate a robust performance in the countrys manufacturing sector, boosted by the Biden administrations stimulus initiatives. A portion of these funds has been allocated to the production of vital commodities like semiconductors.

Despite this optimism, the Federal Reserve has hinted at three potential rate cuts this year. However, many analysts question the necessity for such actions given the economys strength, evidenced by recordhigh stock levels and an unemployment rate below 4. Core inflation, nearly double the Feds target of 2.0, also challenges the rationale behind rate cuts.

The February JOLTs job openings report on Tuesday, posted a decrease to 8.76 million from the previous months 8.86 million. These figures precede the upcoming release of the official nonfarm payrolls NFP report on Friday and todays ADP private payrolls report.

On the global front, Germany unveiled its preliminary inflation numbers for March which were lower at 0.4 mm and 2.2 yy from Februarys 2.5. This would indicate that the European Central Bank ECB is on track to achieve its 2…