Eurozone business activity shows lethargic growth - PMI

(Sharecast News) - Business activity in the eurozone grew slightly in February on the back of weakening demand and the woes of the long-suffering manufacturing sector continued according to a flash survey result published on Friday.

The flash eurozone composite PMI output index came in at 50.2, unchanged from January, just above the 50-point mark that indicates contraction.

Overall demand in the single currency zone declined for a ninth straight month and at a faster pace with the composite new business index falling to 48.6 from 49.3 in January.

The PMI for the services industry fell to 50.7 from 51.3 in January. However, demand in the sector fell, with some of the activity generated by completing previous orders. The services backlogs of work index dropped to 46.7 from 48.0, its lowest reading since late 2020 when the world was in the grip of the COVID-19 pandemic.

Manufacturing, which has been in contraction for almost three years, recorded a small improvement to 47.3 from 46.6.

Reporting by Frank Prenesti for Sharecast.com