The IHS Markit Eurozone Composite PMI was revised slightly higher to 50.9 in December 2019 from a preliminary estimate of 50.6. That pointed to the strongest pace of expansion in the bloc's private sector since August, mainly boosted by service sector growth (PMI at 52.8 from 51.9 in November) while factory activity contracted for an 11th straight month (PMI at 46.3 from 46.9 in November). Incoming new work increased for the first time in four months, despite a 15th successive drop in foreign demand, while levels of work outstanding were cut for a 10th month in a row and employment growth eased to a five-year low. On the price front, input cost inflation was little-changed, while output charges were raised only modestly as competitive pressures and weak demand conditions limited pricing power. Finally, confidence about the future improved during December to its highest level since May. Composite Pmi in the Euro Area averaged 52.59 points from 2012 until 2019, reaching an all time high of 58.80 points in January of 2018 and a record low of 45.70 points in October of 2012. source: Markit Economics
Composite Pmi in Euro Area is expected to be 50.90 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Composite Pmi in Euro Area to stand at 53.20 in 12 months time. In the long-term, the Euro Area Composite PMI is projected to trend around 53.70 points in 2020, according to our econometric models.