Global Economic Trends Show Mixed Signals as Manufacturing and Services Diverge

March 2025 data highlights modest growth in the Eurozone and UK services, while Japan's factory activity contracts sharply and U.S. manufacturing falters under tariff pressures.

Japan's manufacturing PMI fell to 48.3 in March, marking its ninth consecutive month of contraction and the steepest decline in a year, with services also slipping into contraction.
The Eurozone's composite PMI rose to 50.4, its highest in seven months, driven by easing manufacturing declines, though services growth slowed slightly.
Germany's private sector saw its sharpest growth in ten months, with manufacturing production expanding for the first time in nearly two years, supported by infrastructure spending plans.
The UK private sector reached a six-month high in activity, led by strong services growth, while manufacturing hit an 18-month low amid global trade uncertainty.
U.S. manufacturing slid back into contraction territory, with tariffs and weak demand weighing on sentiment, even as overall business activity rose due to services sector gains.