Macro February 10, 2020 / 03:21 pm UTC

Preview: Due February 21 - Eurozone February PMIs

By Giacomo Pallaro

While the coronavirus outbreak did not have a large effect on the Eurozone's (EZ) January PMI figures, we expect the February data to reflect the disruptions the virus caused to manufacturing supply chains and services.

We see the EZ's February composite PMI falling to 51.0 from 51.3 in January, with the manufacturing PMI declining to 47.5 from 47.9 and the services PMI dropping to 52.2 from 52.5.

With several Chinese businesses forced to remain shut after the Lunar New Year celebrations, activity in the transportation sector suffered materially. This likely impacted the delivery of parts, components and intermediate products in manufacturing supply chains, in addition to having a direct effect on the services sector. The forced cancellations of holidays and business trips also impacted the EZ services sector, with obvious effects on retail sales, too.

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