According to preliminary estimates, the HCOB Flash Eurozone Composite PMI rose to 49.5 in December 2024, up from 48.3 in November and surpassing market expectations of 48.2.
Eurozone PMI rises to 49.5 as contraction slows
Although private sector activity declined for the second month, the contraction slowed. Manufacturing remained weak (45.2, unchanged). At the same time, the services sector returned to growth (51.4 vs. 49.5). New orders continued to fall, and job cuts accelerated to their fastest pace in four years as businesses adjusted to lower workloads. Inflation rates for input costs and output prices increased.
Germany and France drag Eurozone, outlook brightens
Contractions led to the overall decline in activity in Germany and France, while the rest of the Eurozone recorded solid growth. Encouragingly, optimism for the 12-month outlook improved in both manufacturing and services.
