Log in
Lost password
Become a member for free
Sign up
Sign up
Dynamic quotes 

4-Traders Homepage  >  News


Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

Euro-Zone Business Activity Shrinks at Slowest Rate in 10 Months

02/05/2013 | 04:49am US/Eastern

By Alex Brittain

Business activity in the euro zone shrank at its least severe rate in 10 months in January, adding to signs that while the crisis-hit economy is still weak, it may have passed its worst point.

Resilience in the currency bloc's economy was largely thanks to solid growth in Germany, a survey from data firm Markit showed Tuesday, whereas activity among French businesses fell at its sharpest rate in almost four years.

"The euro zone is showing clear signs of healing, with the downturn easing sharply in January and the region moving closer to stabilization in the first quarter," said Chris Williamson, Markit's chief economist.

The firm's composite Purchasing Managers' Index for the euro zone rose to 48.6 in January from 47.2 in December. The sub-50 reading means activity across the manufacturing and services industries was shrinking in January, but at the slowest rate in 10 months. Tuesday's results were better than a preliminary estimate of 48.2 published last month.

Evidence of German resilience in Tuesday's surveys is backed by polls of businesses in Europe's largest economy, which have strengthened sharply in recent months. Although other countries are yet to show similar signs of a rebound, strength in Germany could benefit the euro zone as a whole due to the countries' strong trade ties. If the bloc's economy does recover it would ease the burden on governments currently struggling to balance their public finances, and make it easier to resolve the debt crisis that has pushed several member states, including Greece and Portugal, to succumb to international bailouts.

Write to Alex Brittain at alex.brittain@dowjones.com

React to this article
Latest news
Date Title
05:38p AMERICAN APPAREL : Dov Charney Finally Has A Terrible Day That Doesn’t Involve Getting Slapped With Sexual Harassment Suits
05:38p MACQUARIE INFRASTRUCTURE : to Conduct Conference Call and Webcast Covering Third Quarter 2015 Financial Results on Tuesday, November 3, 2015
05:37p LOCKHEED MARTIN : Launches Laser Production Line; Bets On Fiber Tech
05:37pDJDuPont CEO Ellen Kullman Steps Down -- 2nd Update
05:36p JERNIGAN CAPITAL : Announces September and Cumulative Investment Activity
05:35p International Space Station Partners Release Major Update to Docking Standard
05:34p PRIME MINISTER OF AUSTRALIA : Historic Asia-Pacific Trade Agreement opens new era of opportunities
05:34p LUCAPA DIAMOND : Kimberlite Identified Near World-Class Diamonds
05:34pDJNew Zealand 3Q Adjusted Net Business Confidence -9% Vs +6% In 2Q-NZIER
05:32p INTEGRATED ELECTRICAL SERVICES : Change in Directors or Principal Officers (form 8-K)
Latest news
Hot News 
CLOUDBUY : Appointment of NOMAD and Broker and Restoration to Trading on AIM
MAX PETROLEUM : Shares Cancelled From AIM Amid Financial Uncertainty (ALLISS)
UBS : Start of renovation of UBS's head office and opening of a new, temporary branch
CONTRAVIR PHARMACEUTICALS : Other Events, Financial Statements and Exhibits (form 8-K)
Most Read News
05:21p Wall Street rises as investors eye rate hike delay, oil up
01:05a After Mandatory Tender Offer Renova will own 62,86% of Sulzer AG
05:17p Oil gains as Russia set to meet with producers; stock markets up
10/04DJTrans-Pacific Partnership Trade Deal Within Reach
09:45a ELEMICA : Adds Presentation on "The Epidemic of That's How We've Always Done It" to Supply Chain Conference
Most recommended articles
05:37pDJDuPont CEO Ellen Kullman Steps Down -- 2nd Update
05:34pDJNew Zealand 3Q Adjusted Net Business Confidence -9% Vs +6% In 2Q-NZIER
05:32p Home prices sizzle in China's Silicon Valley even as economy slows
05:26pDJUSDA CROP PROGRESS : Soybean Condition/Progress-Oct 5
05:25pDJMedia General Hires Additional Advisers to Review Nexstar Offer