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In Foreign Affairs

December was another blue month for EU

16th December 2019

December was another blue month for EU Pin It

Business activity in the eurozone industry dropped further in December. Research firm Markit reported this on the basis of provisional figures.

The purchasing managers’ index reached a level of 45.9 where economists had expected a level of 47.3. A level higher than 50 indicates growth and below that shrinkage. The industry also contracted in November, when the index reached 46.9.

The services sector in the euro zone did grow. The purchasing managers’ index for that sector reached a level of 52.4, slightly above the 52 that economists predicted. The combined purchasing managers index was 50.6.

German industry also has a difficult month. The purchasing managers index was 43.4. Economists had generally taken into account a position of 44.6. The index was 44.1 in November.

The German services sector recorded a score of 52, as expected by the economists. The composite index was 49.4. Here economists had anticipated a position of 49.9.

The activity in the French industry increased at a minimum with a score of 50.3. Economists, on the whole, had expected a much stronger growth of 51.5. The French service sector came in at 52.4 against an expected 52.1

In the British industry too, activity fell to a level of 47.4, while the expectation was an increase to 49.2. The British service sector fell to 49, where an increase to 49.3 was expected.

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