Business activity in the eurozone is growing at the slowest pace since 2013


Business activity in the eurozone continues to grow, but at the slowest pace since 2013, IHS Markit reports. Eurozone PMI fell to 51 points from 51.1 points in December. A preliminary estimate of analysts was 50.7 points. The index value below 50 points indicates a slowdown in the activity, above 50 points indicates the growth. In the past months, activity in manufacturing and export has decreased. In January, the PMI of the service sector declined to the minimum of 2014 and amounted to 51.2 points. Chris Williamson, economist at IHS Markit, is worried that the manufacturing sector is slipping into recession, and the services sector is growing at a minimum pace in four years. According to the expert, the eurozone is waiting for a reduction in orders and a further drop in demand. Now, the demand is at the level of 2013. The index of activity in the service sector in Germany rose to 52.1 points after falling to 51.6 in December - the lowest value in 5.5 years. France's PMI fell to its lowest level since 2014, 48.2 points. European GDP growth for the quarter was only 0.1%. This gives analysts the right to argue that the current quarter will be the worst since 2103.

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