EUROPE - An unexpectedly sharp rise in the price of oil could have implications for investment decisions, according to CDC IXIS Asset Management's latest published market analysis.
The European Commission's survey of industry confirms that business sentiment on inventories and foreign orders is positive.
Stock-building and foreign demand are therefore certain to contribute positively to growth.
This favourable trend could be undermined, however, if oil price pressures continue, said the CDC IXIS Asset Management’s analysis.
Concerning Germany, new manufacturing orders were rather disappointing in February, said the firm, but are consistent with the past trend in the business climate indicators.
They are also in line with CDC IXIS’s predicted scenario of a recovery in investment only in the second half of the year.
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