France’s PMI figure, a common business survey measure, fell to 48 and is now at an 8-month low.
Anything below 50 represents contraction. The current is figure is news, indicating that France’s economy overall is back in recession.
That is in comparison to Germany, which got a shot in the arm today: its PMI score is at 54.3, the highest in three months. Manufacturing was particularly good, edging back out of the contraction territory it looked like it was in last month.
France’s manufacturing is dreadful in comparison, coming in at 47.3. Economists had expected a 48.5 print.
According to Twitter’s Econhedge, the sub-index for new orders is falling even further, down to just 45.2. That’s a strong signal that things could get even worse in the months ahead.
What’s worse, the employment situation is deteriorating at the fastest pace in about 18 months. France’s unemployment is already very high, at over 10%.