Eurozone records strongest growth in 5 years: survey
22 Feb 2011
The eurozone economy registered its highest growth in almost 5 years in February 2011, according to the latest survey by Markit, a leading market intelligence provider.
The Markit eurozone composite output index, which represents the manufacturing and services business activities, rose to 58.4 in February from 57.0 in January indicating its strongest monthly expansion since July 2006. The index has staged a sharp recovery after hitting a low earlier in October.
Individually, the manufacturing output index hit a 10-month high of 61.1 in February from 59.4 in the previous month, while the services business activity index reached 57.2 from 55.9, its highest level in three and half years.
The manufacturing purchasing manager's index (PMI), another lead indicator based on new orders, output, employment, suppliers' delivery times and stocks of materials also reached its highest level in 10-years at 59.0 in February from 57.3 in January.
The Markit indices are based on extensive survey data collected from 4,500 representative companies in the euro zone covering the manufacturing and service sectors.
Meanwhile, the German business climate index, another closely watched economic indicator compiled by Munich-based Ifo Institute also continued its ascent for the ninth month in a row, signalling strong business confidence in a growing number of firms.
