The Eurozone Purchasing Managers' Index (PMI) Composite Output Index came in at 52.0 in February, reaching its eight-month high, S&P Global said in its report published on Friday. The reading was registered above the 50-point threshold, indicating the strongest recovery since June 2022, with services sector pushing the figure further into expansion territory.
The Services Business Activity Index hit 52.7, its eight-month high, rising from the previous month's 50.8.
"There are clear signs that business confidence has picked up from the lows seen late last year, buoyed by fewer energy market concerns, as well as signs that inflation has peaked and recession risks have eased," S&P Global Market Intelligence Chief Business Economist Chris Williamson commented. However, the economist warned that persistently "high selling price inflation," coupled with the economy's resilience, could pose a risk to demand growth in the coming period.
