Growth in the Eurozone’s key manufacturing area fell last month by more than expected, to a six-month low. Strong figures from Germany were offset by contraction in France. A measure of output showed growth slackening at twice the rate.
While factories were able to marginally raise prices inflation remains steady at around 0.7% throughout the eurozone’s 18 countries, so hopes are rising the ECB will further ease policy this week to boost growth.
Among possible policies to be resolved on Thursday are a negative deposit rate, a cut in the main borrowing rate, and a business refinancing operation.
