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- Euro area PMIs showed a mixed picture in January – Nordea
Euro area PMIs showed a mixed picture in January – Nordea
FXStreet reports that analysts at Nordea Markets offered a quick review of Friday's mixed Eurozone PMI prints for January, which did not show much change in momentum at the start of the year.
“The euro area PMIs showed a mixed picture in January. The composite index stood unchanged at 50.9, below consensus. The various sectors and industries are sending mixed messages this month.”
“The manufacturing index came in on the strong side of expectations, at 47.8. Nonetheless, the industry still clearly remains in contractionary territory but gives some signs of improvement as the decline of new work is slowing.”
“The services index on the other hand actually deteriorated to 52.2 from 52.8 last month, against expectations, but still supports the view of a resilient service sector, keeping the economy afloat and driving job creation.”
“Recent optimism around easing trade tensions after the phase one deal between China and the US reflected in financial markets did not take hold in this month’s PMIs. The threat of the US targeting the Euro area in its next trade war measures can put a damper on sentiment this year, but should not stand in the way of a gradual recovery.”
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