In July, business activity in the eurozone exceeded expectations, reaching an 11-month high. According to the preliminary composite PMI index from HCOB and S&P Global, the indicator rose to 51.0 points against 50.6 in June, which indicates moderate economic growth due to a confident recovery in the services sector and a gradual revival in industry.
For the first time in more than a year, overall demand in the eurozone did not decline: the index of new orders was exactly 50 points – the highest value since May 2024. The industrial PMI also approached the growth limit, reaching 49.8 points (against 49.5 in June), exceeding analysts’ forecasts.
Despite partial dependence on the fulfillment of previously accumulated orders, the pace of their processing was the lowest in three years. The index of unfinished orders rose to 49.0 points, which indicates stabilization of the manufacturing sector after a long decline.