Reflationary recovery races on

Inflation indicators in the flash PMIs for June reached new record highs and supplier delivery times lengthened still further. However, outside the US at least, there are few signs that goods shortages and higher costs have held back the recovery in manufacturing output. More generally, the PMIs suggest that lockdown easing continues to propel recoveries in the US and Europe, where restrictions have eased.
Simon MacAdam Senior Global Economist
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