In
Japan, factory activity returned to growth as production and new orders
picked up, but the improvement was tepid. The PMI edged up to 50.9,
from 49.9 in April.
The
report came on the back of official data this week that showed Japan's
economy expanded in January-March at the fastest pace in a year.
However, much of that growth came from inventories as goods piled up on factory floors, and private consumption, housing investment and exports all rose but at a feeble pace.
Still, subdued input and output prices suggested inflation remained stubbornly low, adding to expectations the Bank of Japan will expand its already massive monetary stimulus program later this year.
Flash PMI readings for the euro zone are due at 0800 GMT, followed by the U.S. report at 1345 GMT.
Minutes of the U.S. central bank's April policy meeting released on Wednesday showed officials debated whether a slew of disappointing data, including weak consumer spending, signaled a temporary slump or evidence of a longer-lasting slowdown.
Most participants agreed economic growth would climb to a healthier pace and the labor market would strengthen.
However, much of that growth came from inventories as goods piled up on factory floors, and private consumption, housing investment and exports all rose but at a feeble pace.
Still, subdued input and output prices suggested inflation remained stubbornly low, adding to expectations the Bank of Japan will expand its already massive monetary stimulus program later this year.
Flash PMI readings for the euro zone are due at 0800 GMT, followed by the U.S. report at 1345 GMT.
Minutes of the U.S. central bank's April policy meeting released on Wednesday showed officials debated whether a slew of disappointing data, including weak consumer spending, signaled a temporary slump or evidence of a longer-lasting slowdown.
Most participants agreed economic growth would climb to a healthier pace and the labor market would strengthen.
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