Eurozone Manufacturing Sector Sees Improvement in March

The Eurozone's manufacturing sector, while still in contraction, showed notable improvement in March, according to the latest report by S&P Global and the Hamburg Commercial Bank (HCOB). The manufacturing Purchasing Managers' Index (PMI) climbed to 48.6, up from 47.6 in February, marking its highest level in 26 months.

Production and Employment Trends

For the first time since March 2023, production levels saw an increase. Additionally, the pace of job cuts slowed down, recording the softest rate in seven months, a significant improvement from February's four-and-a-half-year record high.

Expert Insight

"Things are looking up," commented HCOB Chief Economist Cyrus de la Rubia. "The PMI has increased for the third consecutive month, and the output index has crossed the growth threshold. This positive trend may partly be attributed to the frontloading of orders from the U.S. ahead of anticipated tariffs, suggesting potential adjustments in the coming months."