European shares edge higher as factory data holds up

Reuters – European shares extended gains on Tuesday when new data showed the region’s factory activity no worse than originally estimated in March, while the euro slipped as investors worried about the impact of the Cyprus bailout. The euro zone Manufacturing Purchasing Manager’s Index (PMI), which points to future levels of factory activity, fell in March to 46.8 but was slightly better than a preliminary estimate of 46.6. “Euro zone manufacturing … looks likely to have acted as a drag on the economy in the first quarter, with an acceleration in the rate of decline in March raising the risk that the downturn may also intensify in the second quarter,” said Chris Williamson, chief economist at index compiler Markit. Read article

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