By Steve Goldstein, MarketWatch
Purchasing managers indexes in Europe and the U.S. show a service sector coming off the lows of April.
A less formal way to measure the recovery in the service sector is through OpenTable restaurant reservation data.
Analysts at BCA Research compiled this chart, showing German bookings have actually fully recovered.
Another place showing a strong recovery is Australia, which like Germany has been praised for its coronavirus response and has been further along in reopening than many countries.
“Germany and Australia show that quickly after the lockdowns are eased, the number of reservations in restaurants rebounds strongly. This suggests that even if the behavior of households will not return to normal, there is significant scope for improvement from current levels,” said the analysts.
Cheesecake Factory /zigman2/quotes/207909209/composite CAKE -1.69% on Tuesday said sales at restaurants that have been open have been running about 75% of year-earlier levels. It said most of its restaurants will be reopened by the middle of June.
Markets more broadly are taking an optimistic view of the economic recovery, with the S&P 500 /zigman2/quotes/210599714/realtime SPX -2.37% up 38% from the March lows. The German DAX /zigman2/quotes/210597999/delayed DX:DAX +0.39% is up 42% from its lows, heading into Wednesday.