From Morningstar:

Flash PMI estimates for the UK and Eurozone have been released, confirming the UK’s recession status. In the Eurozone, business activity fell at a slower rate in February, with manufacturing still declining. Germany is lagging behind, while the rest of the region shows signs of improvement, with rising confidence and growth.

The Eurozone Composite PMI Output Index rose from 47.9 to 48.9 in February, slightly higher than expected. Although the eurozone’s output is still declining, the rate of decline is moderating. Sector variations persist, with manufacturing continuing to fall while services stabilize.

In the UK, private sector activity expanded for the fourth consecutive month in February, with services showing significant improvement. Manufacturing remains below the 50 mark, but overall expansion has picked up. Survey respondents cited increased business and consumer spending, easing some cost-of-living pressures.

Economists speculate on potential interest rate cuts by the ECB and the Bank of England following the release of the flash PMI figures. While the UK economy is showing signs of improvement, the exact impact on monetary policy remains to be seen. Both central banks are considering their options amidst economic challenges.



Read more at Morningstar: Flash PMIs: A Mixed Picture in the UK and Eurozone