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Germany and France Weakness Somewhat Offset By Rest Of EZ

EUROZONE DATA
The services component of the Eurozone January flash PMI printed at a below-expected 48.4 (vs 49.0 cons, 48.8 prior), as telegraphed by the French and German misses earlier. The manufacturing component above expected at 46.6 (vs 44.7 cons, 44.4 prior), also partly reflecting the German/French beats, and a 9-month high. The composite reading reached a 6-month high at 47.9 (vs 48.0 cons, 47.6 prior).


Note that the -0.6 point Services miss is smaller than the German (-1.7) and French (-1.0) equivalents, indicating that other EZ countries, namely Italy and Spain, likely performed relatively strongly in January according to the PMI. As the release notes, "the rest of the eurozone [ex- Germany and France] as a whole returned to growth after five months of decline, recording the largest – yet still modest – expansion since last June".

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The services component of the Eurozone January flash PMI printed at a below-expected 48.4 (vs 49.0 cons, 48.8 prior), as telegraphed by the French and German misses earlier. The manufacturing component above expected at 46.6 (vs 44.7 cons, 44.4 prior), also partly reflecting the German/French beats, and a 9-month high. The composite reading reached a 6-month high at 47.9 (vs 48.0 cons, 47.6 prior).


Note that the -0.6 point Services miss is smaller than the German (-1.7) and French (-1.0) equivalents, indicating that other EZ countries, namely Italy and Spain, likely performed relatively strongly in January according to the PMI. As the release notes, "the rest of the eurozone [ex- Germany and France] as a whole returned to growth after five months of decline, recording the largest – yet still modest – expansion since last June".

Keep reading...Show less