Markit's Eurozone Manufacturing Purchasing Managers Index (PMI) rose to 57.4 points in June this year, up from May’s 57 points and increasing from the earlier flash estimate of 57.3 points.
The rate of expansion in the eurozone manufacturing sector accelerated to its fastest in over six years in June.
Euro area manufacturing production and new orders expanded at the quickest rates since the opening half of 2011, underpinned by robust intakes of new work from both domestic and export clients.
Euro zone manufacturers maintained a positive outlook for the sector’s performance in June. Companies expect production levels to be higher in one year’s time.
Cost pressures continued to ease in June. The rate of input cost inflation was at an eight-month low, while output charges increased at the second slowest pace since January. Both price measures nonetheless remained above their long-run series averages.
“Euro zone manufacturing growth gained further momentum in June, rounding off the best quarter for just over six years. At current levels, the PMI is indicative of factory output growing at an annual rate of some five percent, which in turn indicates the goods producing sector will have made a strong positive contribution to second quarter economic growth,” stated Chris Williamson, chief economist at IHS Markit.