Greece Posts Brutally Low PMI Figure

The PMI of many nations in Europe improved last month according to research firm Markit. The region-wide number was 49, not terribly bad as many of the nations in the eurozone are in periods of deep recession. But, the top line figure masked deep trouble within some countries. The number for Greece was a remarkably low 37.7, a sign that its economy could continue to shrink for years.

Markit reports

downturns in Spain and Italy continued at steep rates, albeit with some easing evident in Italy. The recession in Greece took a turn for the worse, with the PMI plunging to a record low.

In Spain, the figure was only 45, another sign that a bailout of the country has become more likely. One of the pockets of strength was in the region’s largest economy–Germany–where the PMI was 50.2. France, the second largest economy in the eurozone, has a PMI of 50.