Eurozone manufacturing worse than previously thought

The manufacturing purchaser’s index (PMI) for the eurozone fell to 50.1 in November compared to 50.4 in October which it was expected to match.  The figure is a disappointment and is also a concern coming in fractionally above the level of 50 that indicates growth.  The breakdown of the figures showed contraction for Italy, Germany and France, all of which were under 50 and the first time in 1.5 years that the three largest economies have experienced simultaneous downturns.  It is also concerning that the poor performance is down to the core eurozone and not being dragged down by the periphery. Indeed, Spanish PMI came in surprisingly strong at 54.7 compared to 52.6 in October.