Investing.com – Manufacturing activity in the euro zone increased unexpectedly in October, rising for the first time in three months, data showed on Tuesday.
In a report, market research group Markit said that its manufacturing purchasing managers’ index rose to a seasonally adjusted 54.6 in October, up from 54.1 in September.
Analysts had expected the index to remain unchanged at 54.1 in October.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
Commenting on the report, Chris Williamson, chief economist at Markit said, “An improvement in the PMI for the first time in three months provides much needed reassurance that manufacturing remains an important driver of the euro area recovery.”
He added, “However, it is clear that the recovery has moved down a gear. The pace of expansion has eased markedly from the surging near double-digit annual pace seen earlier in the year to a more modest 3%–4%.
Following the release of that data, the euro was up against the U.S. dollar, with EUR/USD gaining 0.57% to hit 1.3973.
Meanwhile, European stock markets were mixed. The EURO STOXX 50 shed 0.03%, France’s CAC 40 eased down 0.02%, Germany's DAX was up 0.08% and the FTSE 100 rose 0.36%.
In a report, market research group Markit said that its manufacturing purchasing managers’ index rose to a seasonally adjusted 54.6 in October, up from 54.1 in September.
Analysts had expected the index to remain unchanged at 54.1 in October.
On the index, a reading above 50.0 indicates industry expansion, below indicates contraction.
Commenting on the report, Chris Williamson, chief economist at Markit said, “An improvement in the PMI for the first time in three months provides much needed reassurance that manufacturing remains an important driver of the euro area recovery.”
He added, “However, it is clear that the recovery has moved down a gear. The pace of expansion has eased markedly from the surging near double-digit annual pace seen earlier in the year to a more modest 3%–4%.
Following the release of that data, the euro was up against the U.S. dollar, with EUR/USD gaining 0.57% to hit 1.3973.
Meanwhile, European stock markets were mixed. The EURO STOXX 50 shed 0.03%, France’s CAC 40 eased down 0.02%, Germany's DAX was up 0.08% and the FTSE 100 rose 0.36%.