Manufacturing weakness heightens eurozone concerns

4 March 2013

Concerns regarding the eurozone's economic recovery have intensified after a new report indicated the region's manufacturing sector continued to struggle in February.

The latest purchasing managers' index (PMI) compiled by Markit has shown that even though conditions in this vital industrial arena did not deteriorate last month when compared to January, they remained in negative territory for the 19th month in a row.

In this report, any score below 50 is indicative of contraction and the PMI registered 47.9 in February - unchanged from the level posted one month previously.

Although this means operating conditions in the region's manufacturing industry are still below par, Markit noted that the rate of contraction in terms of production and new orders were less marked than had been signalled by previous estimates.

Chief economist at the body Chris Williamson said this shows that the sector's downturn has "eased so far this year compared to the pace of decline seen throughout much of last year".

By Tony Aynsley

Become a bobsguide member to access the following

1. Unrestricted access to bobsguide
2. Send a proposal request
3. Insights delivered daily to your inbox
4. Career development