Euro Zone Economy Sees Fastest Growth Since April 2023

The euro zone economy has seen its fastest business activity growth in over three years, according to a recent survey. The S&P Global Flash Euro Zone Composite PMI Output Index jumped to 53.1 in September from August's 52.0, defying expectations for a slowdown.

This is the highest reading since April 2023 and indicates an expansion in activity. Chris Williamson, chief business economist at S&P Global, noted that inflationary pressures are rising again due to energy price increases, making this growth even more encouraging.

New orders surged at their fastest pace in over four years, supported by a rise in exports, including intra-euro zone trade. Both the services and manufacturing industries contributed to the expansion, with the services PMI bouncing to 53.0 from 51.6, its highest in nearly a year.