FX.co ★ Eurozone business activity accelerates at record pace, reigniting market hopes

Business activity is striding rapidly across the eurozone! It is growing confidently, giving hope to the market!

Business in the eurozone has revived! According to current estimates, in August, the eurozone business activity grew at the fastest pace in the past fifteen months. The icing on the cake was a noticeable increase in the number of new orders. This happened for the first time since May 2024, experts emphasize.

In the last month of summer, the HCOB Flash Composite Purchasing Managers’ Index (PMI) for the eurozone, compiled by S&P Global, rose to 51.1 points. For reference, its value in July was 50.9 points. This marked the third consecutive monthly improvement and exceeded economists’ expectations, who had feared a decline to 50.7 points.

It is worth noting that a PMI above 50.0 indicates growth in activity, while a reading below this threshold signals contraction. According to the August business activity data, the number of new orders in the EU increased for the first time in three months. Current reports indicate that business conditions in the eurozone are improving, despite continued weakness in exports.