FX.co ★ Eurozone Composite PMI Revised Up to 50.2

The HCOB Eurozone Composite PMI experienced an upward revision to 50.2 in May 2025, an increase from the preliminary figure of 49.5, yet slightly below April's reading of 50.4. This marks the fifth consecutive month of expansion, though the growth remains marginal and is the slowest since February. Manufacturing emerged as the principal driver of output, counterbalancing the first decline in services activity since November. Within the eurozone's four largest economies, Italy and Spain achieved solid expansions, while France edged closer to stabilization, and Germany continued to experience contraction. New business inflows persistently declined, and job creation remained modest. The backlog of work diminished at a moderate rate. Regarding pricing, input cost inflation decelerated to a six-month low, and output charges increased only slightly, at the weakest pace observed since October 2024. Notably, business confidence has improved for the first time since January.