Eurozone: Composite PMI rises in September
September 22, 2017
Leading data suggests that the Euro area’s momentum firmed slightly in September, supported by healthy manufacturing and services sectors. The preliminary Eurozone Composite Purchasing Managers’ Index (PMI), produced by IHS Markit, came in at 56.7 in September, up from August’s revised 55.7 (previously reported: 55.8). The result overshot market analysts’ expectations of a fall to 55.6. The composite PMI lies far above the 50-threshold, signaling expanding business activity in the Eurozone.
Looking at the details, a strong influx of new orders boosted momentum in the manufacturing sector. Although activity strengthened in both the manufacturing and services sectors, the manufacturing is driving activity overall and the gap between the two PMIs is the widest since January 2014. A record number of jobs were added in the manufacturing sector in August.
Regarding the two largest Eurozone economies, faster growth was recorded in both France and Germany. Elsewhere in the region, economic momentum lost steam.