Tuesday , February 7 2023

In October, economic growth in the euro area continued to slow down


The combined service sector index and BMI production data in October were higher than in the previous 52.7 points, but in September it continued to decline to 53.1 points (54.1 points).

The latest October month is the lowest since September 2016.

The BMI above 50 points quantifies the growth rate of the current economic outturn, and its value below 50 points is a reduction rate.

Both the BMI component and the manufacturing and service sector BMI components also fell in October compared to September. In October, the manufacturing industry was the slowest in October, and since the beginning of 2017 the service sector has been slower.

Combined BMI showed the fastest growth in Ireland in October, but the achieved 56.1 points are still the lowest in seven months. In December, the French composite BMI gained 54.1 points in two months, in Spain – by 53.7 points – 4 months, while in the German language – 53.4 points – within five months.

"The euro area companies have reported an unsatisfactory quarterly start," said Chris Williamson, Chief Economist at IHS Markit, as a result of slow sales allegations, a decline in geopolitical uncertainty and a risk of market failure as a downturn.


Source link