Eurozone Private Sector Activity Grows Most in 1 Year
2025-09-03 08:12
By
Andre Joaquim
1 min. read
The HCOB Eurozone Composite PMI inched higher to 51 in August of 2025 from 50.9 in the previous month, revised marginally lower from the flash estimate of 51.1 but remaining ahead of the initial market expectations of 50.7.
The result reflected a third consecutive acceleration for the Eurozone's sharpest expansion in private sector activity in one year, with a fresh rebound among manufacturers (50.7 vs 49.8 in July) and slower growth for service providers (50.5).
New orders at the aggregate level increased for the first time in 15 months, despite a reduction in new export orders.
The signal of new capacity demand drove firms to increase their headcounts the most in 14 months.
Meanwhile, input cost inflation accelerated to a five-month high, subsequently lifting output charges.
Despite the stronger headline reading, business confidence was broadly unchanged in the period amid concerns of tariffs from the US and economic headwinds in the Euro Area.