Monday, July 24, 2023

Euro Area PMI falls again

Both the manufacturing and the services PMIs fell, according to the "flash" estimates released by S&P Global for July.  Once again, as in Australia:

  • the "blip" has passed
  • the average is below the 50% "recession line"
  • services are still stronger than manufacturing, but are falling

Services have been supporting economies, with post-covid "revenge spending" on hotels, restaurants, holidays, air flights and shows strong as a result of catch-up demand.  That strength in services is starting to fade.





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