Daily Market Report - 04/03/2015

GBP
Growth in Britain's construction industry improved to a four-month high last month suggesting Britain's economy started 2015 strongly. However building firms hired staff at the slowest pace in more than a year. The UK construction purchasing managers' index (PMI) rose to 60.1 reaching its highest level since October 2014. 

A fall in output in construction was a drag on Britain's gross domestic product growth in the fourth quarter of 2014, but economists said they expected the weakness in the industry would prove short-lived, which it appears to have been.

EUR
Chances of Greece leaving the euro zone in the next 12 months are the highest since late 2012 even though Athens's financial lifeline has been extended, a survey of investors based mainly in Germany showed on Tuesday. A survey of 980 individuals and institutional investors found that 37.1 percent of respondents expect Athens to leave the currency bloc, up from 22.5 percent in January.

These expectations have risen steadily from a record low 5.7 percent hit last July, but remain below highs of 70.7 percent seen at the height of the euro zone debt crisis in July 2012. Economists have stated a one-in-four chance of Greece leaving the currency area in 2015.

In Spain the number of unemployed has dropped in February to 13,538 people making the total number now at 4,512,153 . This is the best performance of unemployment in a month since 2001. In the last seven years, registered unemployment in February had grown by an average of 90,000 people. In seasonally adjusted terms, unemployment decreased by 49,653 people, the best figure in February historical series. This positive figure is an excellent sign that the Spanish economy is on its way to a recovery.

Key Announcements:
GBP- 09:30 : UK PMI Services (Feb) expected to rise from 57.6 to 57.2
USD- 13:15 : US ADP Non-Farm Unemployment change expected to rise to 220K form 213K
USD- 13:15 : US ISM Non-Non Manufacturing PMI (FEB) expected to be lower at 56.5 to 56.7

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