Flash Eurozone PMI Composite Output Index(1) at 52.2 (52.0 in September). 2-month high.
Flash Eurozone Services PMI Activity Index(2) at 52.4 (52.4 in September). Unchanged.
Flash Eurozone Manufacturing PMI(3) at 50.7 (50.3 in September). 2-month high.
Flash Eurozone Manufacturing PMI Output Index(4) at 51.9 (51.0 in September). 3-month high.
Commenting on the flash PMI data, Chris Williamson, Chief Economist at Markit said:
“The Eurozone PMI rose in October but anyone just watching the headline number misses the darker picture painted by the survey’s other indices, which show the region teetering on the verge of another downturn. “Growth of new orders slowed closer to stagnation and backlogs of work fell at a faster rate, causing employment to be cut for the first time in nearly a year.
“Business confidence in the service sector also slid to the lowest for over a year and prices charged fell at the fastest rate since the height of the global financial crisis, adding to an increasingly downbeat assessment of business conditions.
“While the survey suggests the euro area has so far avoided a slide back into recession this year, a renewed downturn cannot be ruled out. Growth is so anaemic that increasing numbers of companies are being forced into laying off staff and slashing prices in an attempt to to cut costs and boost sales through discounting. “The survey data are broadly consistent with GDP rising 0.25% in the third quarter, but unless demand picks up soon, growth could weaken again in the fourth quarter and deflationary forces could intensify.”