Eurozone Growth Recovery Continued in May

04 June 2004

The Reuters Eurozone Composite Output Index -- which charts the output of the €-currency zone's combined manufacturing and service sectors -- rose from 54.9 in April to 56.1 in May, almost fully recovering to the level recorded at the start of this year.

Key headline findings both for the manufacturing and service industries during May 2004 are …

New Business
The Composite New Business Index registered an improvement in demand for goods and services for the tenth month in succession, the rate of increase rising for the second consecutive month.

Rose for the tenth consecutive month, according to the Composite Prices Index, leaping from 60.9 in April to 64.1 in May. This indicates a marked acceleration in input cost inflation during the month. May's rise was notably greater than in previous months.

May witnessed another decline in employment for the thirty-second straight month. However, the Composite Employment Index rose from 49.1 in April to 49.5, signalling an easing in the rate of job losses for the third month running and only a marginal drop in overall staffing levels.

Eurozone data is provided by purchasing managers in around two thousand European companies based in the eight largest European economies (Austria, France, Germany, Greece, Ireland, Italy, Netherlands and Spain) within the twelve-nation euro currency area. Together, these nations account for an estimated 83% of Eurozone private sector services output.

The full Eurozone report, published monthly by NTC Research, can be purchased online. For further information click here.

Data sourced from: NTC Research; additional content by WARC staff