Eurozone Manufacturing Falls in August

Manufacturing output in the euro zone fell back in August, failing to meet market expectations, as economic and geopolitical uncertainties hit demand in the region.

Euro zone manufacturing purchasing managers’ index (PMI) fell to 50.7 in August, down from 51.8 in July, according to data from analysis firm Markit. The 50-point mark separates expansion from contraction. Economists polled by Reuters had expected a figure of 50.8.

Rob Dobson, Markit’s senior economist, said recovery in manufacturing production had slowed for the fourth straight month and hit a 13-month low.

“Although some growth is better than no growth at all, the braking effect of rising economic and geopolitical uncertainties on manufacturers is becoming more visible. This is also the case on the demand front, with growth of new orders and new export business both slowing in August,” he said in a statement.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza