Eurozone factory growth hits four-year high in September
In short
Eurozone factory growth rose to 52.9 in September, its highest level in four years. The report said demand for capital goods and exports helped push the number up.
This matters because higher input costs and expected consumer inflation of 3.6% may keep pressure on the European Central Bank. It is not yet clear if the bank will raise rates again soon.
What the reporting says
Eurozone manufacturing growth accelerated to 52.9 in September, reaching a four-year high on strong demand for capital goods and rising exports. The same report said input costs are climbing and consumer inflation is expected at 3.6%, which could increase pressure on the European Central Bank. The immediate unknown is how quickly policymakers will respond with further rate increases.
Why it matters
Eurozone manufacturing activity rose to 52.9 in September, a four-year high, after stronger demand for capital goods and exports. The report also flagged faster input costs and expected consumer inflation of 3.6%, which may add pressure on the European Central Bank to consider more rate increases. The timing and size of any policy response are not stated.