Investing.com - Service sector activity in Italy expanded at a faster rate than expected in January data showed on Wednesday, however the report did little to sooth fears over the health of the euro zone's third largest economy.
In a report, market research group Markit said that its Italian services purchasing managers’ index rose to a seasonally adjusted 51.2 last month from a reading of 49.4 in December. Analysts had expected the index to inch up to 50.0 in January.
A reading above 50.0 on the index indicates industry expansion, below indicates contraction.
Commenting on the report, Phil Smith, economist at Markit said, “Much like the manufacturing survey before, the services data pointed to a softening of domestic market demand at the start of the year and the continuation of deflationary forces."
EUR/USD was trading at 1.1462, while EUR/GBP was at 0.7556.
Meanwhile, European stock markets were mixed after the open. Italy FTSE MIB rose 0.2%, the EURO STOXX 50 tacked on 0.15%, France’s CAC 40 advanced 0.2%, London’s FTSE 100 edged down 0.1%, while Germany's DAX slumped 0.15%.