20 Feb 2015
Eurozone manufacturing activity hit 7-month high
FXStreet (Mumbai) - The preliminary Markit Eurozone Manufacturing Purchasing Manager’s Index (PMI) rose to a 7-month high of 51.1 in February from 51.00 in January. However, the data missed the estimate of 51.5.
The services activity index also rose to a 7-month high of 53.9 in February from 52.7 in January. The data managed to beat the estimate of 53.00. Thus, the Composite PMI index in February rose to 53.5, beating the estimate of 53.00 and up from January’s 52.6.
New orders also grew at the sharpest rate for seven months in February. Input costs fell for the second month owing to lower oil prices. Average selling prices fell at a slower rate compared to January, which had seen the largest decline for almost five years. Meanwhile, job creation increased at a fastest rate since 2011.
As per Chris Williamson, Chief Economist at Markit, “February’s PMI surveys paint an upbeat picture of improving Eurozone economic health. Undeterred by the ongoing Greek debt crisis, economic growth is gathering momentum and looks set to gain further traction in coming months. The economy is on course to grow by at least 0.3% in the first quarter, assuming March doesn’t disappoint.
A key development this month is that France is no longer languishing in stagnation. The region’s second-largest economy is now seeing the strongest growth since mid-2011, with French consumers apparently awakened by lower prices.”
The services activity index also rose to a 7-month high of 53.9 in February from 52.7 in January. The data managed to beat the estimate of 53.00. Thus, the Composite PMI index in February rose to 53.5, beating the estimate of 53.00 and up from January’s 52.6.
New orders also grew at the sharpest rate for seven months in February. Input costs fell for the second month owing to lower oil prices. Average selling prices fell at a slower rate compared to January, which had seen the largest decline for almost five years. Meanwhile, job creation increased at a fastest rate since 2011.
As per Chris Williamson, Chief Economist at Markit, “February’s PMI surveys paint an upbeat picture of improving Eurozone economic health. Undeterred by the ongoing Greek debt crisis, economic growth is gathering momentum and looks set to gain further traction in coming months. The economy is on course to grow by at least 0.3% in the first quarter, assuming March doesn’t disappoint.
A key development this month is that France is no longer languishing in stagnation. The region’s second-largest economy is now seeing the strongest growth since mid-2011, with French consumers apparently awakened by lower prices.”