French Manufacturing, Services Reveal Risk for Europe’s Recovery

French manufacturing and services contracted for a second month in June, highlighting the euro area’s struggle to sustain its economic recovery.

A Purchasing Managers Index for both industries in the region’s second-largest economy decreased to 48.0 from 49.3 in May, Markit Economics said today in London. Economists had forecast an unchanged reading, according to a Bloomberg News survey. A reading of 50 or higher signals expansion.