Business activity in the euro area fell at the slowest rate for six months in January, according to provisional PMI® survey data, albeit with downturns persisting in both manufacturing and service sectors amid further falls in new business. The overall contraction of new orders was nevertheless the smallest recorded since last June, helping stabilise employment levels and lift business optimism about the year ahead to an eight-month high. Although disruptions to shipping in the Red Sea caused supply chains to lengthen for the first time in a year, manufacturing input costs continued to fall on average. However, ... (full story)