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  • Chinese PMI business confidence data showed some moderation in the growth of both the manufacturing and service sector indices. However, the distorting effects of lunar New Year are in evidence, and adjusting for that would leave the figures more or less unchanged.
  • Euro area manufacturing sentiment is expected to show signs of ongoing economic recovery, although the details at a country level are still something of a focus. There will be interest in whether President Hollande's pro-business talk has had time to impact French sentiment.
  • The US ISM is seen staying elevated, though not as elevated as in past months, with a 55.5 forecast (consistent with the balance of information from the regional surveys). The Fed's senior loan officers' survey of bank lending may be more useful in guiding medium term economic expectations.
  • Der Spiegel reports that Germany is preparing for another bail out of Greece before the May European Parliamentary elections. Markets are unlikely to be surprised by the necessity of a bail out, though there may be interest as to the impact this may have on anti-European political support within the Euro area.

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