2 Feb 2015
Eurozone manufacturing activity ticks up in January
FXStreet (Mumbai) - The final seasonally adjusted Eurozone Manufacturing PMI came in line with the earlier flash estimate of 51.0 and slightly above December’s print of 50.6.
Production increased at the fastest rate in six months in January due to a slight rise in new orders and work on existing contracts. Meanwhile, manufacturing employment rose for the fifth successive month in January. Input costs fall at sharpest pace in five-and-a half years due to sharp declines in international oil prices. This led to fall in the average selling prices, which fell for the fifth month running and to the greatest extent in over one-and-a-half years.
As per Chris Williamson, Chief Economist at Markit, “The ECB’s ‘bazooka’ of full-scale quantitative easing should boost the euro area economy via improved business and consumer confidence and the weakening of the euro. There is also a real possibility that the impact of the ECB stimulus could be compromised by uncertainty and instability arising from the unfolding political situation in Greece, which remains a major risk to the economic outlook for the region.”
Production increased at the fastest rate in six months in January due to a slight rise in new orders and work on existing contracts. Meanwhile, manufacturing employment rose for the fifth successive month in January. Input costs fall at sharpest pace in five-and-a half years due to sharp declines in international oil prices. This led to fall in the average selling prices, which fell for the fifth month running and to the greatest extent in over one-and-a-half years.
As per Chris Williamson, Chief Economist at Markit, “The ECB’s ‘bazooka’ of full-scale quantitative easing should boost the euro area economy via improved business and consumer confidence and the weakening of the euro. There is also a real possibility that the impact of the ECB stimulus could be compromised by uncertainty and instability arising from the unfolding political situation in Greece, which remains a major risk to the economic outlook for the region.”