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Eurozone Construction Output Growth Drops to Five-Month Low in March

April 6, 2022 by Forex Winner Leave a Comment

Construction Output

Source: Markit Economics

Eurozone construction output growth fell to a five-month low in March as firms recorded inflationary concerns and uncertainties due to geopolitical tensions. EZU is down 1.59%, while VGK is flat premarket.

  • The S&P Global Eurozone Construction Total Activity Index stood at 52.8 in March, down from 56.3 in February. This is the slowest expansion since October 2021.
  • Firms reported that growth was hampered by higher prices and concerns amid the ongoing war between Russia and Ukraine.
  • Homebuilding grew for the 13th straight month, but growth was modest to record the softest pace in five months.
  • Commercial construction projects expanded for the sixth straight month, but growth was the slowest in five months since October 2021.
  • Civil engineering activity climbed for the third straight month, but the expansion was the slowest seen in the period.
  • New order growth also saw the same trend, recording the weakest growth in seven months due to geopolitical tensions.

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