Eurozone PMI Falls in May Amid Service Sector Weakness

From Investing.com: 2025-05-22 04:48:00

Eurozone PMI fell from 50.4 to 49.5 in May, signaling a return to stagnation, with the service sector being the main concern due to its recent decline. The trade war is impacting the economy through uncertainty, with modest declines in foreign orders and increased output in May. Manufacturing new orders have stabilized, potentially indicating a turning inventory cycle. While the trade war poses risks, there is potential for an upturn if the inventory cycle shifts. Overall, the eurozone economy is facing stagnation post a strong first quarter, with downside risks due to trade tensions.



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