Eurozone December final manufacturing PMI 48.8 vs 49.2 prelim

The Eurozone's December final manufacturing PMI recorded 48.8, falling short of the preliminary estimate of 49.2. This indicates a contraction in manufacturing activity, worsening from the previous value of 49.6. Such data raises concerns about the growth outlook for the Eurozone economy, suggesting diminishing production appetite among businesses. A PMI below 50 indicates a shrinking economy, thus signals that prospects for recovery in the manufacturing sector are fading. This situation may lead to expectations for further accommodative monetary and fiscal policies, putting downward pressure on the euro. The market is likely to remain cautious following this data, monitoring upcoming economic indicators closely.