Economic Buzz: Eurozone Business Output Falls Into Contraction In July

22 Jul 2022 , 03:39 PM

The eurozone economy contracted in July, according to early PMI survey indicators, with output and new orders both falling for the first times since the COVID-19 lockdowns of early 2021. An accelerating downturn in manufacturing was accompanied by a near-stalling of service sector growth as the rising cost of living continued to erode the tailwind of pent-up demand from the pandemic. The seasonally adjusted S&P Global Eurozone PMI Composite Output Index fell from 52.0 in June to 49.4 in July, according to the flash reading. By dropping below the neutral 50.0 level, the July PMI signals a contraction of business output for the first time since February 2021. Powered by Commodity Insights