Next week will bring yet more evidence on the damage done by the coronavirus lockdowns.
In the US, we could see yet another large fall in employment and rise in unemployment, perhaps taking the rate to 20 per cent – the highest since the 1930s. We should also see the ISM report a huge drop in manufacturing activity.
In the eurozone, purchasing managers’ surveys should confirm that activity in both services and manufacturing remained very low in May. Official figures will also show a rise in the unemployment rate (from 7.4 per cent last month), although this won’t be as great as in the US thanks to job protection measures.