Private Sector Growth Spurs Eurozone Employment

04 November 2005

The RBS/NTC Eurozone Composite Output Index for October indicates that growth across the combined manufacturing and service sectors continued its upward trend through October.

Expansion in the zone - the eight largest European economies (Austria, France, Germany, Greece, Ireland, Italy, Netherlands and Spain) within the twelve nation euro currency area - rose for the second month running, according to the monthly Report on the Eurozone from UK-headquartered NTC Research .

Among the key findings for October are . . .

  • New Business
    The index rose from 53.7 in September to 54.3 in October, registering the twenty-seventh successive increase in demand for goods and services.

  • Employment
    This index moved further above the 50.0 no-change level in October, up from 50.5 in September to 50.9. The latest index reading nevertheless registered the largest monthly gain in employment since August 2001.

  • Input Costs
    Concerns remained widespread, as growth of average input costs accelerated for the fourth successive month to show the strongest rise since January. Higher oil and energy prices were once again widely blamed for the cost increases, driving up the rate of input price inflation in both manufacturing and services. The data are based on the results of surveys carried out in Germany, France, Spain, Italy, Austria, Ireland, Greece and the Netherlands (plus the UK, Poland and the Czech Republic for the EU data), covering over 6,000 manufacturing and services companies.

    For further information on Eurozone data click here.

    Data sourced from NTC Research; additional content by WARC staff