- Construction PMI is 42.1, previously 41.4.
Main findings:
- Construction activities span all countries and sectors monitored.
- Employment and purchasing contracted further.
- Expectations regarding the outlook remain significantly subdued.
comment:
Commenting on the PMI data, Dr. Tariq Kamal Chowdhury, economist at Hamburg Commercial Bank, said:
“The euro area construction sector shows no signs of easing.The construction sector's HCOB PMI rose slightly from the previous month, but remained in contraction territory at 42.1 points in September.Among the subsectors, civil engineering Engineering had the biggest month-on-month decline, but the residential real estate sector remains the deepest in crisis.
Among the major eurozone countries, the “red lantern” flag moved from Germany to France, which recorded its lowest reading in a decade. Prices continue to rise. Despite the severe weakness in demand, input prices are still rising, but the pace of growth has slowed slightly compared to the previous month. The only positive sign is that subcontract prices are starting to fall slightly.
There is no room for optimism at this point. Orders have fallen alarmingly and purchasing volumes are sluggish. It is not surprising that the outlook for future activities remains pessimistic. As a result, French construction companies are laying off more workers. Although the ECB's tightening of monetary policy is very welcome to boost the construction sector, the ECB's recent announcements do not seem to be lifting the industry's spirits. ”
Eurozone Construction PMI
