Investing.com - Manufacturing activity in Italy expanded unexpectedly in September, easing concerns over the economic outlook of the euro zone’s third largest economy, data showed on Wednesday.
In a report, market research group Markit said that its Italian manufacturing purchasing managers’ index inched up to a seasonally adjusted 50.7 last month from a reading of 49.8 in August. Analysts had expected the index to decline to 49.5 in September.
A reading above 50.0 on the index indicates industry expansion, below indicates contraction.
Leading the headline index to rise were returns to growth in employment and stocks of purchases, as well as a faster increase in output and a renewed deterioration in suppliers’ delivery times.
Commenting on the report, Phil Smith, economist at Markit, said, “The headline manufacturing PMI moved back into positive territory in September, but the recovery in business conditions at factories remains a fragile one."
EUR/USD was trading at 1.2615 from around 1.2613 ahead of the release of the data, while EUR/GBP was at 0.7782 from 0.7780 earlier.
Meanwhile, European stock markets were mixed. Italy's FTSE MIB 40 rose 0.1%, the DJ Euro Stoxx 50 increased 0.1%, France’s CAC 40 added 0.1%, London’s FTSE 100 inched down 0.3%, while Germany's DAX edged 0.35% higher.