According to the Reuters Eurozone Composite Output Index, private sector economic output in the eight Eurozone nations (Austria, France, Germany, Greece, Ireland, Italy, The Netherlands and Spain) enjoyed growth for the second consecutive month during March – the strongest rate of expansion for exactly a year.
The survey’s key findings are:
• Overall Activity
The Index recorded 52.7 in March, up from 51.3 the previous month. This strengthening of overall activity levels was again driven by gains both in the manufacturing and services sectors. But – as was the case in February – growth of service sector output in March continued to outpace that recorded by the manufacturing sector.
• New Business / Staffing Levels
Rising activity levels were again stimulated by further growth of incoming new business over the month. The Composite New Business Index registered 52.4 in March, up from 50.4 in February, as demand from both the manufacturing and service sectors strengthened. Despite the latest increase in levels of incoming new business to private sector firms within the Eurozone, March’s survey continued to point to falling overall staffing levels within the region.
• Price Pressures
Finally, March’s survey indicated that input price pressures continued to build. The Reuters Eurozone Composite Input Prices Index rose to 54.7 for the month (up from 52.6 in February) and its highest level since last June.
The service sector survey data cover around 2,000 companies, with the contribution from each company weighted according to company size to produce individual country indices. The data for each country are then combined using weights determined by national contribution of services output to total Eurozone services output.
Data sourced from: NTC Research; additional content by WARC staff