Eurozone heading back into recession new figures show
Published 02/11/2011 | 13:09
IRELAND was the only eurozone country not to report a drop in factory activity in October but the overall figures show the area is heading back into recession.
The Markit manufacturing purchasing managers index, which analyses activity in manufacturing firms in the region, fell to 47.1 from 48.5 the previous month.
Any level below 50 indicates contraction and output and new orders levels have not been seen since two years ago.
The figures suggest the crisis is putting pressure on businesses in the region.
Other statistics show that German unemployment unexpectedly rose for the first time in just under two years to 7pc and this could put pressure on the European Central Bank to cut interest rates.
Manufacturing in Germany, the biggest market in the region, contracted for the first time in just over two years.