Eurozone PMI Manufacturing dropped from 58.4 to 58.0 in December, a 10-month low but above expectation of 57.7. PMI Services dropped from 55.9 to 53.3, an 8-month low and missed expectations of 54.2. PMI Composite dropped from 55.4 to 53.4, a 9-month low.
Chris Williamson, Chief Business Economist at IHS Markit said: “The eurozone economy is being dealt yet another blow from COVID-19… Germany is being especially hard hit, seeing the economy stall for the first time in a year-and-a-half, but the growth slowdown is broad based across the region.
“Encouragement comes from the manufacturing sector, where the strain on supply chains is showing some signs of easing, in turn helping to revive factory production… Easing supply constraints have alleviated some of the upward pressures on inflation, though the overall rate of price increase in December was still the second-highest on record. While inflation could soon peak, the rate of increase remains elevated.”
