It’s PMI week, and today’s the turn of Europe’s services sector.
The purchasing managers’ index (PMI) scores indicate the health of an economic sector, measuring things like company output and new orders, give an indication of how a sector is doing way in advance of the hard, official data that comes out after a delay of months.
On Wednesday, numbers for October are rolling out.
For PMIs, anything above 50 signals growth and anything below indicates a recession. The further a number is above that neutral 50 level, the faster the expansion.
Here’s what we’ve got so far:
- Spain: 55.9 (55.5 expected, 54.6 previous)
- Italy: 53.4 (53.6 expected, 53.3 previous)
- France: 52.7 (52.3 expected, 51.9 previous)
- Germany: 54.5 (55.2 expected, 54.1 previous)
- Eurozone: 54.1 (54.2 expected, 53.7 previous)
It’s good news for Spain, which saw a disappointing score in the manufacturing surveys released earlier this week — industrial growth seems to be at its slowest since late 2013.
Despite the fact that the country’s output is well below pre-crisis levels, the service sector has now reported growth in every month for two years.
In fact, it’s good news for every major eurozone economy except Germany — the only one to miss expectations.