Investing.com - Manufacturing activity in France rose more-than-expected in February, returning to expansion territory for the first time since July 2011, preliminary data showed on Wednesday.
In a report, market research group Markit said that its preliminary French manufacturing purchasing managers’ index rose by 1.7 points to a seasonally adjusted 50.2 in February from a reading of 48.5 in January.
Analysts had expected the index to rise by 0.2 points to 48.7 in February.
A reading above 50.0 on the index indicates industry expansion, below indicates contraction.
Meanwhile, the report showed that service sector activity in France fell to a two-month low in February.
The preliminary services purchasing managers’ index declined by 2.0 points to a seasonally adjusted 50.3 from 52.3 in January. Analysts had expected the index to ease down 0.4 points to 51.9.
Commenting on the report, Jack Kennedy, Senior Economist at Markit said, “The economy appears to be on a stable footing in Q1 following the unexpected 0.2% rise in GDP during the final quarter of 2011.”
“While there is little to get too excited about, the first quarter is shaping up to be better than seemed likely towards the end of last year,” he added.
Following the release of the data, the euro remained higher against the U.S. dollar, with EUR/USD gaining 0.21% to trade at 1.3262.
Meanwhile, European stock markets were higher after the open. The EURO STOXX 50 eased up 0.05%, France’s CAC 40 added 0.25%, London’s FTSE 100 rose 0.1%, while Germany's DAX was up 0.1%.
In a report, market research group Markit said that its preliminary French manufacturing purchasing managers’ index rose by 1.7 points to a seasonally adjusted 50.2 in February from a reading of 48.5 in January.
Analysts had expected the index to rise by 0.2 points to 48.7 in February.
A reading above 50.0 on the index indicates industry expansion, below indicates contraction.
Meanwhile, the report showed that service sector activity in France fell to a two-month low in February.
The preliminary services purchasing managers’ index declined by 2.0 points to a seasonally adjusted 50.3 from 52.3 in January. Analysts had expected the index to ease down 0.4 points to 51.9.
Commenting on the report, Jack Kennedy, Senior Economist at Markit said, “The economy appears to be on a stable footing in Q1 following the unexpected 0.2% rise in GDP during the final quarter of 2011.”
“While there is little to get too excited about, the first quarter is shaping up to be better than seemed likely towards the end of last year,” he added.
Following the release of the data, the euro remained higher against the U.S. dollar, with EUR/USD gaining 0.21% to trade at 1.3262.
Meanwhile, European stock markets were higher after the open. The EURO STOXX 50 eased up 0.05%, France’s CAC 40 added 0.25%, London’s FTSE 100 rose 0.1%, while Germany's DAX was up 0.1%.