Euro zone factory output near 4 1/2-year high in July but demand still weak, PMI shows
Complete. Here is the key summaryEuro zone factory output surged to a 4.5-year high in July, driven by clearing backlogs rather than rising demand, indicating a fragile recovery. The Manufacturing PMI rose to 51.9, while new orders remained weak and employment fell. Inflation hit 2.9%, and supply chain pressures persisted due to Middle East conflicts. Despite a slight uptick in business confidence, producers remain cautious as momentum risks fading.
LONDON, Aug 3 (Reuters) - Euro zone factory output surged at its fastest pace in nearly four-and-a-half years in July but growth was largely driven by firms clearing order backlogs rather than rising demand, pointing to a fragile recovery, a survey showed. Conflict in the Middle East has disrupted supply chains and sent energy costs soaring, causing difficulties for manufacturers. Inflation in