Brussels: Business activity across the eurozone picked up in September, a key survey showed yesterday, growing by the fastest monthly rate since since May and showing economic recovery well underway. A purchasing managers’ index (PMI) compiled by Markit ticked up to 56.7 in September after 55.7 in August, the group said in a statement.
Analysts said the reading points to a sustained recovery, with some saying they may now need to upgrade their forecasts for economic growth in the single currency area. Florian Hense at Berenberg said the September index level came in more than a full point higher than his bank’s forecast, which had been in line with the overall market consensus.
The manufacturing component of the PMI alone beat forecasts by 1.0 points and services were ahead by 0.8 point.
Powerhouse Germany did particularly well in September, according to the data, with analysts saying PMI growth was the strongest in more than half a decade. The data are also fuelling an ongoing debate about when the European Central Bank will tighten monetary policy.
