Markit's Eurozone Manufacturing Purchasing Managers Index (PMI) posted 60.6 points in December last year, its best level since the survey began in mid-1997, up from November’s 60.1 points and in line with 60.6 points in the earlier flash estimate, as a result of the strong rates of expansion in output, new orders and employment.
The expansion was led by the investment goods sector, where the pace of growth signalled by the PMI was also a record high. The rate of improvement in the intermediate goods sector remained close to November’s survey-record. Growth was slower in the consumer goods sector by comparison, but remained solid and well above its long-run trend.
Chris Williamson, chief business economist at IHS Markit, said, “The euro zone manufacturing boom gained further momentum in December, rounding off the best year on record and setting the scene for a strong start to 2018. The final PMI was in line with the earlier flash number, confirming a record monthly improvement in business conditions at the end of 2017. Forward-looking indicators bode well for the New Year; new orders rose at a near-record pace, while purchasing growth hit a new peak as firms readied themselves for higher production.”