There was more gloom for the euro zone on Monday with the latest flash purchasing manager’s index (PMI) falling to a 16-month low despite attempts by the European Central Bank (ECB) to boost growth and business activity in the region.
The preliminary PMI from Markit showed that business activity in the 19-country region fell to 52.9 in May versus 53.0 in April, failing to meet expectations for a reading of 53.2, according to a Reuters poll of analysts.
The PMI is a composite of services and manufacturing activity in the region and the 50-point mark separates expansion from contraction.
The latest PMIs suggest that economic growth has likely slowed in the euro zone in the second quarter and that business activity was likely to remain subdued, Markit said.
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