Eurozone’s PMI Manufacturing was finalized at 45.8 in July, unchanged from June, indicating ongoing contraction. PMI Manufacturing Output fell from 46.1 to 45.6, a 7-month low. Input costs increased at the fastest rate in a year and a half.
Among countries, Greece led with a PMI of 53.2, a 7-month low. Spain recorded 51.0, a 6-month low. Ireland reached a 5-month high at 50.1, but the Netherlands fell to 49.2, a 6-month low. Italy showed a 4-month high at 47.4, France hit a 6-month low at 44.0, Germany a 3-month low at 43.2, and Austria a 4-month low at 43.1.
Cyrus de la Rubia, Chief Economist at Hamburg Commercial Bank, noted that the belief in the Eurozone’s recovery “is taking a hit.” He emphasized that the decline in production has “intensified” doubts, prompting a likely downgrade in GDP growth forecast from 0.8%. Industrial activity weakened broadly, with only Greece and Spain seeing meaningful growth, though momentum there also slowed. Austria and Germany displayed the greatest weakness.
