|
S&P
Global's final composite Purchasing Managers' Index (PMI) for
the euro zone, seen as a good gauge of economic health, rose to
49.3 in December from November's 47.8, above a preliminary
estimate of 48.8.
While the index has been below the 50 mark separating growth
from contraction since July, December was a five-month high. The
final data was compiled earlier than usual last month due to the
holiday season.
"The euro zone economy continued to deteriorate in December, but
the strength of the downturn moderated for a second successive
month, tentatively pointing to a contraction in the economy that
may be milder than was initially anticipated," said Joe Hayes,
senior economist at S&P Global Market Intelligence.
"Nevertheless, there is little evidence across the survey
results to suggest the euro zone economy may return to
meaningful and stable growth any time soon."
A December Reuters poll predicted the region's economy
contracted 0.3% last quarter and would do so by 0.4% this
quarter.
Overall demand declined for a sixth straight month, albeit at a
shallower pace than initially thought. The PMI new business
index bounced to 47.0 from 45.8, comfortably above the 46.5
flash estimate.
A PMI covering the bloc's dominant services industry climbed to
within a whisker of the breakeven point, registering 49.8
compared to November's 48.5. The preliminary estimate was 49.1.
Price pressures in the sector eased last month although did
remain elevated. The output prices index dropped to 61.0 from
62.3 and its lowest since August.
That will likely be welcomed by policymakers at the European
Central Bank who have been tightening monetary policy to try and
contain inflation running considerably above their target.
(Reporting by Jonathan Cable; Editing by Susan Fenton)
[© 2023 Thomson Reuters. All rights
reserved.]
This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|
