Eurozone economy showing 'clear loss of momentum'

October 03, 2018 - 1:29 am

LONDON (AP) — A closely watched survey shows that the eurozone economy lost further momentum during September, with exports at the forefront of the slowdown.

Financial information firm IHS Markit said Wednesday that its composite purchasing managers index, a key gauge of business activity incorporating services and manufacturing, slipped to 54.1 in September from 54.5 the previous month.

Though anything above 50 indicates expansion, the decline provides further evidence that the eurozone economy came off the boil during the summer as trade flows stalled. The firm's survey points to solid quarterly economic growth of 0.5 percent.

Chris Williamson, the firm's chief business economist, said the slowdown is set to continue into the fourth quarter as "recent months have seen a clear loss of momentum in terms of both output and new order gains."