Euro zone business activity accelerates in August as new orders grow, PMI shows

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Managers' Index, compiled by S&P Global, rose to 51.1 in August from 50.9 in July, marking the third consecutive monthly improvement and the highest reading since May 2024. A Reuters poll had predicted a dip to 50.7.PMI readings above 50.0 indicate growth in activity while those below point to a contraction."The small increase in the composite PMI ... indicates that the euro zone economy continues to weather global storms quite well," said Bert Colijn at ING."Improvements in new orders and increased hiring add to a picture of accelerating growth, but a muted pace seems likely given significant downside risks to the outlook."The manufacturing sector showed notable improvement with its headline PMI rising to 50.5 from 49.8 in July, moving into expansion territory for the first time in more than three years. Manufacturing output grew at the quickest rate in nearly three-and-a-half years, with the subindex climbing to 52.3 from 50.6.Services activity continued to expand but at a reduced pace, with the bloc's dominant sector's PMI slipping to 50.7 from 51.0 in July.Germany, Europe's largest economy, registered its fastest growth since March, driven by a solid manufacturing expansion despite muted services performance. France's downturn eased to a marginal decline, the smallest in a year, while growth in the rest of the euro zone continued but softened slightly.Germany's PMI rose to 50.9, ahead of forecasts in a Reuters poll, while in France activity almost grew with its PMI coming in at 49.7.Still, euro zone consumer confidence is expected to have dipped when data are released later on Thursday by the European Commission.In Britain, outside the European Union, businesses are having their strongest month in a year thanks to a rebound in the dominant services sector.Firms in the euro zone continued hiring for the sixth consecutive month, with the pace of job creation quickening to the fastest since June 2024. The employment gains were concentrated in services, while manufacturers continued to shed jobs.Inflation pressures intensified in August, with input costs rising at the sharpest rate in five months. Service sector cost inflation accelerated to the highest since March, while output prices across the bloc increased at the fastest pace in four months.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,470.75 +100.58 (+1.58%)Dow 3045,656.46 +870.96 (+1.94%)Nasdaq21,520.58 +420.27 (+1.99%)Russell 20002,360.97 +86.87 (+3.82%)VIX14.35 -2.25 (-13.55%)Gold3,419.30 +37.70 (+1.11%)PortfolioSign in to access your portfolioSign inTop gainersUI Ubiquiti Inc. 503.61 +113.04 (+28.94%)MNSO MINISO Group Holding Limited 26.42 +4.25 (+19.19%)NIO NIO Inc. 6.42 +0.88 (+15.88%)BMNR Bitmine Immersion Technologies, Inc. 53.59 +5.86 (+12.28%)RXO RXO, Inc. 16.68 +1.98 (+13.47%)Top losersNEGG Newegg Commerce, Inc. 102.62 -13.16 (-11.37%)BJ BJ's Wholesale Club Holdings, Inc. 98.05 -8.11 (-7.64%)INTU Intuit Inc. 662.64 -35.12 (-5.03%)CSX CSX Corporation 34.53 -1.34 (-3.74%)DUOL Duolingo, Inc. 332.92 -12.60 (-3.65%)Most activeOPEN Opendoor Technologies Inc. 4.6950 +1.0950 (+30.42%)NIO NIO Inc. 6.42 +0.88 (+15.88%)NVDA NVIDIA Corporation 177.89 +2.91 (+1.66%)INTC Intel Corporation 24.72 +1.22 (+5.19%)LCID Lucid Group, Inc. 2.0463 -0.0437 (-2.09%)Earnings eventsTrending tickersETH-USD Ethereum USD 4,793.26 +548.17 (+12.91%)^DJI Dow Jones Industrial Average 45,654.56 +869.06 (+1.94%)UI Ubiquiti Inc. 503.61 +113.04 (+28.94%)TSLA Tesla, Inc. 337.36 +17.25 (+5.39%)ZM Zoom Communications Inc. 82.36 +9.19 (+12.56%)Top economic events