Euro-Zone Private Sector Contracts in Dire Start to Quarter
- Composite PMI drops to 48.9 in July, economist estimate 49.6
- Manufacturing is still ‘the Achilles heel of the euro zone’
The euro area Purchasing Managers’ Index stayed below the 50 threshold that indicates growth.
Photographer: Ina Fassbender/Getty ImagesThis article is for subscribers only.
The euro-area private-sector economy contracted more than anticipated in July, with order inflows and output expectations pointing to the downturn deepening in the coming months, according to S&P Global.
The flash Purchasing Managers’ Index for the region stayed below the 50 threshold that indicates growth for a second month, dropping to 48.9 in July from 49.9 a month earlier. That’s the lowest reading since November and worse than predicted by any economist in a Bloomberg survey.