Eurozone PMI Manufacturing was finalized at 54.8 in October, up from September’s 53.7. That’s also the best reading in 27 months. Among the member states, Germany PMI Manufacturing surged to 58.2, a 31-month high. Austria hit 23-month high at 54.0. Italy also hit 31-month high of at 53.8. Spain (52.5) , France (51.3) stayed in expansion. The Netherlands (50.4) and Ireland (50.3) were close to stagnation. Greece was in contraction at 48.7, a 3-month low.
Chris Williamson, Chief Business Economist at IHS Markit said: “Eurozone manufacturing boomed in October, with output and order books growing at rates rarely exceeded over the past two decades. However, while the data bode well for production during the fourth quarter, the expansion is worryingly uneven…. The renewed weakness of consumer-facing businesses serves as a reminder that, while manufacturing as a whole may be booming for now, the sustainability of the recovery will depend on household behaviour returning to normal and labour markets strengthening. Given second waves of virus infections, this still looks some way off.”
