The latest Europe Sector Purchasing Managers Index (PMI) data from IHS Markit revealed growth of output in 19 out of 20 monitored sectors in August, following universal growth throughout the previous three months. All sectors except Construction Materials posted higher activity, while all except Real Estate and Other Financials recorded growth in new business.
All 20 sectors registered higher employment for the third month running.
The strongest rates of growth in output were registered in Machinery & Equipment and Technology Equipment, despite both easing to six-month lows. These sectors also registered the fastest increases in new orders and employment.
Construction Materials was the only sector to record a decline in output.
Input price inflation remained historically strong across all sectors monitored in August. The sharpest rates of inflation were registered in Technology Equipment (a record high) and Automobiles & Auto Parts, and the weakest in Other Financials and Banks.
That said, 12 sectors registered slower rates of inflation than in July, with the most notable moderations seen in the three constituents of the Basic Materials group: Metals & Mining, Chemicals and Forestry & Paper Products.