Euro area manufacturing activity at worst since May 2020

By Tuba Ongun

ANKARA (AA) – The euro area manufacturing activity in April has posted the fastest deterioration since May 2020, according to the final purchasing managers’ index (PMI) data released on Tuesday.

Hamburg Commercial Bank's eurozone manufacturing PMI was revised slightly higher to 45.8 in April, from the preliminary flash data of 45.5, according to a report by the US-based financial services company S&P Global.

The figure was down from 47.3 in March and below 50, the threshold that separates growth from contraction, for the 10th consecutive month.

Production volumes across the euro area decreased for the first time since the beginning of the year in April while new factory orders dove at the sharpest pace in four months as the downturn in demand accelerated.

Consumer hesitancy and high client inventory levels restricted new business intakes, panel members said.

Input costs dropped for the second successive month thanks to rapidly improving supply conditions.