Source: IHS Markit
The PMI gauging the manufacturing activity in the eurozone hit an eighteen-month low of 54.6 in May, from 55.5 in April. DAX is up +0.33%, EURUSD is down -0.17%.
- Output expansion in the eurozone still rose to a two-month high in May, with the index at 51.3, compared to 50.7 in April. The output was still the second-weakest in 23 months of expansion.
- The Netherlands was the strongest growing country, although activity was at an 18-month low in May. Germany and Spain were the only countries to post stronger improvements.
- Eurozone manufacturers accumulated stock purchases at the quickest rate in three months in May. The rate of purchasing activity was unchanged from the 17-month low of April.
- Supply disruptions weakened, with the delivery times increasing at the second-weakest pace since the start of 2021.
- Inflationary pressures persisted across the eurozone, although both input costs and selling charges eased slightly. Output price inflation was the second-strongest on record after the April highs.
- Firms remained less upbeat on concerns about inflation, supply chain bottlenecks, and demand. The level of businesses’ positive sentiment was among the weakest in more than two years.