Euro-Area Growth Faces Upside Risk as Weak Prices Restrain ECB

  • Purchasing Managers’ Index remains at 56.8; est. 56.7
  • Gauge for manufacturing rises as services activity slowed
Lock
This article is for subscribers only.

The euro-area economy is growing at a pace that would warrant a tightening of monetary policy if it wasn’t for weakening inflation, IHS Markit said.

A Purchasing Managers’ Index remained at 56.8 in May as manufacturing expanded at the fastest pace in more than six years and a gauge for services slipped, the London-based company said on Tuesday. Economists in a Bloomberg survey had predicted a marginal decline to 56.7.