Eurozone PMI remains in expansion territory
In Eurozone, the flash estimate of the PMI index rose slightly in March, with the value of the composite indicator increasing by 0.2 points, bringing Marchs PMI index to 50.4 points. Moreover, the composite indicator remained in the expansion zone, albeit only very slightly, throughout the first quarter. This suggests moderate growth in the euro area economy at the start of the year. More importantly for the region, the situation in the industry is starting to improve. The manufacturing PMI index gained 1.1 points in Eurozone. Although the value at 48.7 points remains in the recession zone, the slump has eased considerably in recent months. Both Germany and France, the euro area's two largest economies, delivered positive surprises. The decline in industrial orders eased across the eurozone and Germany saw a slight increase for the first time since March 2022. While the uncertainty around tariffs remains high, recent announcements about triggering escape clause in the Eurozone and Germany passing the plan to invest EUR 500 billion into infrastructure and climate protection could lift the mood about future economic development.