French S&P Mfg PMI || 50.5 (Forecast 50.8, Previous 50.8)

Manufacturing sector conditions improve slightly as firms bolster hiring and demand downturn eases

KEY FINDINGS:

Employment rises again following brief drop in
December
New orders fall at weakest pace since
downturn began last June
Business confidence up; cost inflation slows to
25-month low

“We’re starting to see more evidence to suggest that the worst of the manufacturing downturn is behind us. Although demand and production levels are still falling, rates of contraction are modest and markedly softer than those seen in the second half of last year,” said S&P Global Market Intelligence senior economist Joe Hayes.

“Nevertheless, survey respondents continue to remark on client de-stocking, a factor which continues to dampen new orders,” added Hayes.

EUR